Ace investor Mukul Agrawal enters Suzlon Energy as FPIs increase holdings

Posted on by

Investor Ace Mukul Mahavir Agrawal entered Suzlon Energy In the last quarter, according to the data available to the stock exchanges. At the end of the June quarter, its name appeared in the pattern of shareholding in the wind energy maker at 1.05 per cent or 13 crore shares. Since the exchanges only reveal the contribution pattern of individuals who own more than 1 percent, it’s not immediately known whether he bought those shares during the quarter or accumulated them over a few quarters.

Besides Mukul Agrawal, foreign portfolio investors have also increased their holdings in Suzlon. Against March’s 7.64 percent holding, foreign investment institutional holding rose to 7.80 percent, thanks mainly to Category A investors. Similarly, mutual funds also increased their holdings to 0.74 percent from a mere 0.09 percent.

On the other hand, retail investors took some profits on Suzlon as shares rose sharply. Their holdings fell to 24.53 percent from 28.70 percent. However, the HNIs, who own more than ₹2-lakh shares of Suzlon, increased their stake to 21.40 percent from 19.24 percent.

Suzlon shares have jumped nearly 142 per cent since April 1 – from Rs 8.10 to Rs 19.60. There was no significant difference between contract promoters, banks, and others.

Suzlon has become the first Indian wind power company to reach 20 GW of wind power installation worldwide and has a cumulative 33 percent wind power market share in India, Emkay Global Financial said in a recent report. “The improvement in the balance sheet comes on the back of the Operations and Maintenance Service (OMS) and Wind Turbine Generator (WTG) arms of the company, along with industry tailwinds, restructuring, refinancing and a successful rights case,” she added. However, Emkay Global has not rated the stock.

Suzlon Energy will report its earnings for the June quarter on July 25th. For the March 2023 quarter, it posted a narrow loss of Rs.59.27 crore as against Rs.307.29 crore recorded in Marcy 2022. Total revenue also fell to Rs.1,056.15 crore (Rs.1,680.85 crore).

ICICI Securities, which started Suzlon with a purchase target of Rs 22, said India had launched a series of policy initiatives such as single-phase closed bidding (vs. e-auction), 10 GW wind auction per year, and these policies are expected to generate tailwinds for Suzlon.