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Power Grid Corporation Of India - Opportunities On The Horizon: ICICI Securities Re-Initiates Coverage

Power Grid Corporation Of India - Opportunities On The Horizon: ICICI Securities Re-Initiates Coverage

<div class="paragraphs"><p>The sun rises beyond an electricity transmission tower  (Photographer: Chris Ratcliffe/Bloomberg)</p></div>
The sun rises beyond an electricity transmission tower (Photographer: Chris Ratcliffe/Bloomberg)

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

ICICI Securities Report

Power Grid Corporation of India Ltd. is geared up to benefit from the upcoming auctions in the transmission space.

Over FY22-26, we expect Power Grid to incur a capex of Rs 516 billion and commission assets worth Rs 765 billion, taking its gross block from Rs 2.4 trillion in FY21 to Rs 2.8 trillion in FY24 and Rs 3.2 trillion in FY26.

With Powergrid Infrastructure Investment Trust now listed, a ready monetisation vehicle is available to the company for its operational tariff based competitive bidding assets.

This results in freeing up of capital as well as lower debt in its books, a good combination for future capex and growth.

Click on the attachment to read the full report:

ICICI Securities PowerGrid Corporation of India Company Update.pdf

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