RMC Switchgears hits 5% upper circuit as unit get nod to set up RE park

The rise in stock price came after the company announced that its subsidiary RMC Green Energy has secured approval from Rajasthan Renewable Energy Corporation to set up a 50 MW RE park in Rajasthan.

RMC Switchgears shares hit upper limit: RMC Switchgears shares were locked in 5 per cent upper circuit at Rs 937.90 per share on Wednesday, August 21, 2024. 

The rise in the stock price came after the company announced that its subsidiary RMC Green Energy has secured approval from Rajasthan Renewable Energy Corporation to set up a 50 MW Renewable Energy Park in Rajasthan under the Rajasthan Renewable Energy Policy 2023. 

In an exchange filing, RMC Switchgears said, “The company is pleased to inform that RMC Green Energy Pvt Ltd, a subsidiary of RMC Switchgears Limited, has secured approval from the Rajasthan Renewable Energy Corporation to establish a 50 MW Renewable Energy Park in Rajasthan under the Rajasthan Renewable Energy Policy 2023.”

RMC Switchgears is actively pursuing additional tenders exceeding 600 MWp and is engaging with both public and private sector entities to achieve the ambitious goal of securing 1 GWp in EPC contracts over the next 18 months, the company said. 

The strategic initiative not only reinforces RMC Switchgears Limited's role in advancing renewable energy but also contributes significantly to India's climate action commitments under the Paris Agreement, it added.

"This approval marks a pivotal step in our journey as we transition into a renewable energy company, with solar plants as IPPs and EPC contracts for solar as our primary focus. Establishing its first 50 MW Renewable Energy Park is a testament to our commitment to participating in the strategic fossil energy substitution within India,” said Ankit Agrawal, CEO and whole-time director of RMC Switchgears.

Headquartered in Jaipur, RMC Switchgears is a power technology company. The company specialises in combating electrical theft and preventing electrocution accidents. It also designs solutions encompassing manufacturing, supply, installation, and operations & maintenance (O&M) management, tailored for the unique needs of utilities and

DISCOMs in India. 

With over 80 per cent of its services customised for state PSUs and private utilities, RMC Switchgears is evolving alongside India's rapidly transforming power sector. 

The company is also actively expanding its focus to include municipalities, particularly in water management, addressing the substantial AT&C losses and societal impacts of electrical accidents in India.

The market capitalisation of RMC Switchgears is Rs 966.82 crore, according to Bombay Stock Exchange (BSE).

At 11:31 AM, shares of RMC Switchgears continued to remain locked in the 5 per cent upper circuit. In comparison, BSE Sensex was trading 0.04 per cent lower at 80,772.29 levels.