JP Power Soars Over 17%! What’s Fueling This Small-Cap Stock’s Stunning Rally?

The shares of Jaiprakash Power Ventures (JP Power) extended its rally consecutively surging over 17 per cent to hit an intraday high of Rs 22.50 in trade on Monday after reportedly Adani Group led by Gautam Adani emerged as the highest bidder for Jaiprakash Associates (JP Associates). This entity holds a 24 per cent stake in JP Power.

In the past week, the power generation firm has surged as much as 22.30 per cent, and 37.81 per cent in a period of one month.

In June, reportedly the debt laden Jaiprakash Associates (JAL) had received six resolution plans from conglomerates such as Adani Group, Vedanta, JSPL (Naveen Jindal), Dalmia Bharat, PNC Infratech, Suraksha Group. The bids submitted on June 24, was aimed at acquiring the firm.

JP Associates, which operates across verticals like real estate, cement, hospitality, and construction, was admitted into the Corporate Insolvency Resolution Process (CIRP) by the National Company Law Tribunal (NCLT), Allahabad Bench, via an order dated 3 June 2024.

The company was in a state of insolvency after defaulting on loan repayments, with total claims from creditors totalling Rs 57,185 crore.

JP Power has provided a corporate guarantee for a USD 150 million external commercial borrowing availed by JP Associates from the State Bank of India, which has since been converted into a rupee term loan.

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JP Power Q4 FY25 Result

JP Power posted a 73 per cent year-on-year decline in net profit to Rs 155.67 crore for the March 2025 quarter as a result of lower income. In the same quarter last year, the company had posted a net profit of Rs 588.79 crore.

The company's revenue declined to Rs 1,366.67 crore, down from Rs 1,863.63 crore in the year-ago period. For FY25, net profit dropped to Rs 813.55 crore from Rs 1,021.95 crore in FY24.

The stock is also trading above all eight key Simple Moving Averages (SMAs) — from the 5-day to the 200-day — indicating broad-based strength and sustained upward trend.

As of 2:16 pm, the shares of JP Power was trading nearly 18 per cent higher at Rs 22.33.