Adani Power Share Price Rises After Stock Split Proposal

Adani Power Share Price Rises After Stock Split Proposal

Adani Power shares jump over 3% as board plans a stock split on August 1. Quarterly results & Vedarbha acquisition boost investor confidence today.

Adani Power Shares Surge: Stock Split Proposal, Strong Q1, and Strategic Acquisition Fuel Investor Confidence

Adani Power Ltd. is making headlines today, Tuesday, July 29, 2025, as its share price witnessed a notable surge, climbing over 3% in early trading. This positive momentum comes on the heels of multiple significant announcements, including a forthcoming board meeting to consider a stock split, robust quarterly earnings, and the recent completion of a strategic acquisition.

These developments collectively signal strong investor confidence in the thermal power giant's growth trajectory and strategic initiatives, positioning Adani Power as a key stock to watch in the Indian energy sector.

Board to Consider Stock Split on August 1: Boosting Accessibility

A major catalyst for today's share price rally is the announcement that Adani Power's board of directors will convene on August 1, 2025, to consider a proposal for the split of its equity shares.

• Why a Stock Split? A stock split increases the number of outstanding shares while proportionally reducing the price per share. While it doesn't change the company's overall market capitalization or fundamental value, it makes the shares more affordable and accessible to a broader base of retail investors.
• Increased Liquidity: A lower per-share price can enhance the stock's liquidity and trading volume, making it more attractive to a wider range of market participants.
• Positive Investor Sentiment: Stock splits are often perceived as a positive signal, indicating that the company's management is confident in its future growth prospects and aims to make the stock more appealing.

This move is expected to attract more investors and potentially drive further demand for Adani Power's shares.

Adani Power Shares Climb Over 3% Today

Following the news, Adani Power's share price surged by over 3% during Tuesday's trading session. As of 1:40 PM IST, the stock was trading around ₹588.55 on the NSE, up from its previous close of ₹570.65.

This upward movement reflects immediate positive market reaction to the stock split proposal, coupled with other recent favorable developments.

Robust Q1 FY25 Performance Bolsters Confidence

Adding to the positive sentiment are Adani Power's strong financial results for the first quarter of Fiscal Year 2025 (Q1 FY25), which were announced in June 2025.

• Revenue Growth: The company reported a significant increase in continuing revenue from operations, driven by improved power demand and higher effective operating capacity.
• EBITDA and Profit Before Tax (PBT) Surge: Adani Power saw substantial growth in its continuing EBITDA and Profit Before Tax, indicating strong operational efficiency and reduced finance costs.
• Increased Power Sale Volume: Consolidated power sale volume also witnessed a healthy jump, reflecting higher offtake from Adani Power's plants.

These impressive quarterly figures underscore the company's fundamental strength and operational efficiency in a growing power market.

Strategic Expansion: Vidarbha Industries Power Acquisition Completed

Further boosting investor confidence is Adani Power's recent completion of the acquisition of Vidarbha Industries Power Ltd (VIPL).

• Capacity Enhancement: This acquisition, finalized in early July 2025 for ₹4,000 crore, adds VIPL's 600-megawatt (MW) coal-fired power plant to Adani Power's portfolio.
• Increased Operational Capacity: The move significantly boosts Adani Power's total operating capacity, aligning with its strategy to expand its base load power generation.
• Turnaround of Stressed Assets: The acquisition, completed via the insolvency route after NCLT approval, highlights Adani Power's expertise in turning around stressed assets.

This strategic expansion reinforces Adani Power's position as a dominant player in India's thermal power sector.

Conclusion: A Strong Outlook for Adani Power

The confluence of a proposed stock split, impressive Q1 FY25 results, and the successful acquisition of Vidarbha Industries Power has created a highly positive sentiment around Adani Power today. The surge in its share price reflects renewed investor confidence in the company's financial health and strategic vision.

As the board prepares to meet on August 1 to deliberate on the stock split, all eyes will be on Adani Power, which appears well-positioned for continued growth in the dynamic Indian power sector.