Power Grid shares touched a day high of Rs 290.45 on the BSE on Thursday after its board raised the company’s FY27 and FY28 borrowing limits.

The gain was modest, but it came right on the back of a fresh funding decision from the board.

At a meeting on July 22, the board approved raising the FY27 borrowing limit from Rs 30,000 crore to Rs 35,000 crore. It also cleared a plan to borrow up to Rs 35,000 crore in FY28.

Both proposals still need shareholder approval, which will come up at the company’s next Annual General Meeting.

The money, once raised, would come through a mix of bonds, some secured, some not, some taxable and some tax-free, sold through private placement.

In simple terms, Power Grid is lining up extra funding room to keep investing in its transmission network over the next two years. This isn’t the only recent development at the company.

On July 9, Power Grid received a Letter of Intent for a transmission project covering three locations, Bhadla-III and Ramgarh in Rajasthan, and Kanpur in Uttar Pradesh.

The company will build, own, operate and eventually transfer this project once complete.

There’s also the March quarter results to consider. Power Grid’s net profit rose 9.7% year on year to Rs 4,546 crore, beating what analysts had expected.

Revenue and EBITDA both fell compared to the same quarter last year, though. Alongside the results, the company recommended a final dividend of Rs 1.25 per share, on top of two interim dividends already paid during the year.

As of 12:55 pm, the stock was trading at Rs 289.60 on the BSE, up 0.09% from the previous close of Rs 289.35.

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