Force Motors shares gain as firm to buy stake in arm of Tata Power Renewable Energy

Shares of Force Motors Ltd rose over 2% today after the company's board gave its consent to buy stake in the subsidiary of Tata Power Renewable Energy. The board will acquire 12.21% stake in TP Surya Limited in respect of procurement of Solar Power from a specific Solar Plant, to be established by TP Surya Limited in Maharashtra under Open Access Mode. Force Motors stock gained 2.61% to Rs 3780 against the previous close of Rs 3683.80 on BSE. Market cap of the firm rose to Rs 4857.36 crore on BSE. Earlier, the stock opened higher at Rs 3749.80 on BSE. It has climbed 154.43% this year and risen 145.12% in the last one year. Total 8,310 shares of the firm changed hands amounting to a turnover of Rs 3.11 crore on BSE in the current session.

The stock has a beta of 0.3, indicating very low volatility in a year.

In terms of technicals, the relative strength index (RSI) of Force Motors stock stands at 37.4, signaling it's neither trading in the overbought nor in the oversold zone. Force Motors stock is trading higher than the 100 day, 150 day and 200 day but lower than the 5 day, 20 day, 30 day, 50 day moving averages.

"The company's board at its meeting held on December 12, 2023, has consented to acquire 12.21 percent (26,87,421 equity shares) in TP Surya Limited, a wholly owned subsidiary of Tata Power Renewable Energy Limited, Mumbai, in respect of procurement of solar power from a specific solar plant, to be established by TP Surya under open access mode subject to closing adjustments," the company said in its release.

TP Surya is in the process of setting up ground mounted solar photovoltaic power projects in Maharashtra.

Through the acquisition, Force Motors joining hands with Tata Power Renewable Energy as per the Maharashtra Group Captive arrangement for Green Energy under open access.

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