JP Power shares experienced a significant surge on Wednesday, March 18, rising 11.80% to ₹15.63 on the National Stock Exchange (NSE) against the previous closing price of ₹13.98. According to reports from Mint, this marked the second consecutive day of gains for the small-cap stock trading below ₹20. The rally was accompanied by exceptionally high trading volumes, with nearly 99 lakh shares changing hands on BSE as of 10:40 am, representing nearly three times the two-week average of 38 lakh shares. On NSE, 1,695.58 lakh shares were traded during the session.
The surge was triggered by the National Company Law Tribunal (NCLT) approval of Adani Enterprises' takeover bid for Jaiprakash Associates (JAL), which owns a 24% stake in JP Power. As reported by Mint, JP Associates announced in an exchange filing on Tuesday that NCLT's Allahabad bench orally pronounced an order on March 17, 2026, approving the resolution plan submitted by Adani Enterprises. In November last year, a Committee of Creditors (CoC) had approved the resolution plan by business tycoon Gautam Adani to acquire the company, with Adani Enterprises outbidding Vedanta and Dalmia Bharat after creditors approved a ₹14,535 crore acquisition proposal for the bankrupt infrastructure group.
According to Harshal Dasani, Business Head at INVasset PMS, quoted by Mint, investors are focusing on the holding structure where JP Associates holds a stake in JP Power, creating an indirect exposure that could benefit from stronger promoter backing. Dasani explained that acquisition by a large, well-capitalised group like Adani would translate into indirect stake and potentially stronger strategic oversight, which could significantly improve lender confidence and investor perception. Balaji Rao Mudili from Bonanza noted that the plan grants Adani access to JAL's major assets, including the 24% stake in JP Power, with JAL carrying a massive debt of over ₹57,000 crore.
Despite the takeover developments, JP Power's recent financial performance shows challenges, with net profit declining to ₹4.89 crore in the December 2025 quarter compared to ₹124.65 crore in the same period a year ago, as reported by Mint. The company's total income also decreased to ₹1,211.40 crore in Q3 from ₹1,256.35 crore in Q3FY25. However, Mahesh Ojha from Kantilal Chhaganlal Securities believes JP Power valuations are in a comfortable spot, with its power sector presence offering decent business opportunities.
