ACME Solar Holdings shares hit a day high of Rs 432 on Thursday after its subsidiary signed a 400 MW renewable power supply deal with NTPC.

The trigger came from an exchange filing made public early on Thursday. ACME Marigold Urja Private Limited, a wholly owned arm of ACME Solar, has signed a power purchase agreement with NTPC Limited.

In plain terms, NTPC has agreed to buy electricity from the project at a fixed rate for years to come.

The project has a capacity of 400 MW and sits under NTPC’s first round of bids for firm and dispatchable renewable energy, or FDRE.

Put simply, solar or wind power is paired with storage so supply stays steady and reaches the grid when people need it, not only when the sun shines.

NTPC will pay Rs 4.37 for every unit of power. Supply is due to start on 30 June 2028, and the agreement will then run for 25 years.

ACME Solar did not put a total rupee value on the contract. It also did not say how much the project will cost to build.

The company said neither its promoters nor its group companies have any interest in NTPC.

The agreement is not a related-party transaction, and ACME Solar called the disclosure voluntary.

ACME Solar develops and runs solar, wind, hybrid and storage projects across India, and the deal follows a busy few months.

In the April to June quarter, it signed 600 MW of power purchase agreements with the Solar Energy Corporation of India (SECI).

This week, it also reported September-quarter results, with net profit more than doubling to Rs 269 crore from Rs 115 crore a year earlier.

At 14:13 pm, ACME Solar shares were trading at Rs 413.35 on the NSE, up 0.54% from the previous close and well below the day’s high. The stock is up 73.79% so far this year.

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