Jaiprakash Power Ventures Shares Surge 12% After NARCL Settlement and Strong Five-Year Returns

Shares of JPPL climbed up by more than 12% in initial trade on September 21 following news of a ₹511 crore deal between the company and National Asset Reconstruction Company Limited. 

As per BSE data, the stock was quoted at ₹17.25 at 10:20 am with a market capitalization of ₹11,822.22 crore. The stock marked its highest and lowest point of ₹17.48 and ₹16.05 respectively in intraday session. 

The company and NARCL have agreed to settle the matter for ₹511 crore as full and final payment. The arrangement is subject to payment of the agreed amount, fulfilment of other conditions and execution of definitive agreements. 

Jaiprakash Power Ventures has also said that the related proceedings under the Insolvency and Bankruptcy Code will be withdrawn once all the settlement conditions are completed. 

The stock had already gained about 7% over the previous week. Over three years, it was up around 64.3%, while its five-year gain stood close to 292%, according to the market data cited in the report. Its 52-week range was ₹13.14 to ₹24.45. 

The company’s latest financial quarter figures were also an indication of the huge improvement from the March quarter. The Jaiprakash Power Ventures posted a net profit of ₹468.95 crore in Q1 FY27 as against a net loss of ₹23.35 crore in Q4 FY26. 

Net sales for the June quarter amounted to ₹1,775.70 crore as against ₹1,386.43 crore in the previous quarter and an increase of 12.16% over the previous year. EPS was recorded at ₹0.52 as against negative ₹0.03 in the March quarter. 

The settlement does not yet amount to a completed withdrawal of the IBC proceedings, since that step is tied to fulfilment of the agreed conditions. 

Separately, CRISIL Ratings had earlier continued the rating on Jaiprakash Power Ventures’ long-term bank facilities on “Rating Watch with Negative Implications.” 

Monday’s move therefore came against two parallel developments: the newly announced NARCL settlement and a recent improvement in the company’s quarterly earnings