Shares of struggling JP Group company, Jaypee Power Ventures Limited (JP Power), continued their sharp rally on Thursday, marking a two-day gain of nearly 30%. The surge follows the approval of a proposal by the Adani Group for JP Power’s associate company, Jaypee Associates, by its creditors.
In early trading today, JP Power shares jumped around 12% to ₹22.80, after closing at ₹20.31 in the previous session. On Wednesday, intra-day trading had seen an 18% rise, finally settling at a 15% gain. Shares had opened today at ₹21.30.
According to Bloomberg sources, the deal is valued at approximately $1.5 billion. The restructuring plan could be implemented through Adani Enterprises, other entities within the Adani Group, or a special purpose vehicle (SPV). Jaypee Associates is the flagship company of the JP Group, which has business interests across engineering and construction, cement, power, real estate, fertilizers, and hospitality sectors.
Technical Outlook:
JP Power Ventures’ daily RSI stands at 74.9, placing it in the overbought zone, typically signaling high buying pressure and suggesting potential short-term consolidation or minor correction. The stock is currently trading above all eight key simple moving averages (SMAs), indicating strong upward momentum. Its 52-week high is ₹27.62 and low is ₹12.35.
With the Adani Group now in the picture, JP Power is seen as a prime candidate for strategic revival, attracting investor confidence and market attention.
Discover more from Global Chronicle
Subscribe to get the latest posts sent to your email.