Union Bank of India zooms on partnering with TPSSL to facilitate solar rooftop adoption in the MSME sector

The stock gained 6.60% in a single trading session

Union Bank Of India stock closed at Rs 70.30, up by 4.35 points or 6.60% from its previous closing of Rs 65.95 on the BSE.

The scrip opened at Rs 66.80 and touched a high and low of Rs. 70.85 and Rs. 66.50 respectively. The BSE group 'A' stock of face value Rs 10 has touched a 52-week high of Rs 69.20 and a 52-week low of Rs 33.55.

Union Bank of India (UBI) has tied up with Tata Power Solar Systems (TPSSL), a 100% subsidiary of Tata Power Renewable Energy (TPREL) to help MSME (Micro, Small and Medium Enterprises) sector switch to solar solutions. The objective of this collaboration is to improve access to green energy and save on the cost of electricity thus making MSMEs more profitable.

The association will be implemented under UBI’s solar scheme called 'Union Solar' which was launched on a pan-India level to relieve the MSMEs from the stress of higher power costs and grid exigencies. MSMEs can avail the dual services of Solar EPC by TPSSL, financed through a term loan facility by Union Bank of India, wherein industries can avail up to Rs 8 crore of the loan amount at the best possible interest rates (exclusive for Tata Power customers) with nil or minimum collateral. The scheme also requires a minimum down payment of only 15-20% of project cost thus making it very attractive for MSMEs.

Union Bank of India is one of the largest government-owned banks in India. The Bank offers products and services in three categories - Deposits, Loans and Advances, and Remittances & Collections.

The promoters holding in the company stood at 83.49%, while Institutions and Non-Institutions held 8.48% and 8.02% respectively.