Inox Wind share price jumps 5% as co sells stake in IRSL at valuation of Rs 7,400 crore

Shares of Inox Wind Limited (IWL) climbed 5 per cent in Tuesday's trade after India’s leading wind energy solutions provider and part of the $ 12 billion INOXGFL Group announced the sale of shares worth about Rs 175 crore in its engineering, procurement and construction (EPC) subsidiary, Inox Renewable Solutions Ltd (IRSL). 

Inox Wind said it sold the stake to investors at a post-merger valuation of nearly Rs 7,400 crore. The merger scheme involving the demerger of Inox Green’s substation business into IRSL recently received a ‘no objection’ clearance from stock exchanges.

Following the development, Inox Wind shares climbed 5.07 per cent to hit a high of Rs 147.05 on BSE. The stock is down 11.56 per cent in the past one month compared with a flat Sensex and 2.6 per cent drop in the BSE Industrials index. 

"We expect IWL’s execution to accelerate from 705 MW in FY25 to 1,150 MW in FY26. However, due to muted order inflows and increasingly challenging execution, we have revised our execution numbers downwards from 1,750 MW/ 2,000 MW to 1,400MW/ 1,500 MW in FY27/FY28. As per our estimates, Revenue/ Ebitda/ adjusted PAT will grow with CAGR of 32 per cent/ 31 per cent/ 36 per cent during FY25-28," JM Financial said on Monday.

It maintained 'Buy' rating on the Inox Wind stock with SOTP-based target price of Rs 154 against Rs 216 earlier. 

IWL is a fully integrated wind energy player with four state-of-the-art manufacturing facilities in Gujarat, Himachal Pradesh and Madhya Pradesh, producing blades, tubular towers, hubs and nacelles. With an annual capacity of around 2.5 GW, the company offers advanced 3 MW wind turbine generators. Its listed subsidiary, Inox Green Energy Services Ltd, is India’s only pure-play renewable O&M services provider with a portfolio of more than 5 GW. Through IRSL, IWL delivers EPC services for wind projects and develops common infrastructure such as power evacuation systems for renewable projects.

IRSL is among the top two wind EPC providers in India with over 14 years of operational experience. It offers turnkey solutions from conceptualisation to commissioning, along with transmission infrastructure to evacuate power from projects, and has built a strong presence in western India.

The company is currently developing multi-gigawatt common infrastructure across the country, while also expanding into crane services and transformer manufacturing. It is unlocking new revenue streams by hybridising existing and upcoming transmission assets, taking advantage of supportive renewable energy policies in several states. Backed by Inox Wind’s diversified order book of about 3.1 GW and a strong project pipeline, IRSL is seen well-positioned for sustained growth and profitability.