SJVN shares rise 13% after PSU wins over Rs 13,000-crore project in Mizoram

Shares of SJVN rose 13% in early deals on Friday after the firm said it has received a letter of intent for a 2,400 MW pumped storage project in Mizoram, worth over Rs 13,947 crore. This marks the company's first project in the state. The stock zoomed 13.49% to Rs 159.60 in the current session on BSE. Market cap of the firm stood at Rs 60,361 crore. A total of 30.33 lakh shares changed hands amounting to a turnover of Rs 47.05 crore on BSE.

SJVN shares have a beta of 1.8, indicating high volatility in a year. The stock hit a 52 week low of Rs 52.69 on August 9, 2023 and a 52 week high of Rs 170.45 on February 5, 2024.

In terms of technicals, the relative strength index (RSI) of the stock stands at 49.6, signaling it's trading neither in the overbought nor in the oversold zone. SJVN shares are trading higher than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day and 200 day moving averages.   

The multibagger stock has gained 440% in two years and risen 164% in a year.

A memorandum of understanding (MoU) will be signed within three months between SJVN and the Mizoram government, as per the Letter of Intent (LoI).

The company has received the LoI from the Mizoram government for allotment of the Darzo Lui Pumped Storage Project through the MoU route on a nomination basis, according to a statement.

With an installed capacity of 2,400 MW, the pumped storage project has been proposed across Darzo Nallah, a tributary of Tuipui river.

The estimated cost of the project on completion is Rs 13,947.50 crore, including IDC (interest during construction) and financing costs at the April 2023 price level.

The project involves the utilisation of available gross heads of upper and lower reservoirs of 770 metres.

SJVN Limited is engaged in the business of generation of electricity and the tariff for power generation. The company manufactures and provides three key products and services: generation of electricity (hydro, wind and solar), consultancy and transmission. Its businesses include thermal power, hydro power, wind power, solar power, power transmission, consultancy and power trading.