CG Power and K Raheja Corp Sign Agreement to Develop Land in Mumbai.

CG Power and Industrial Solutions (CG) reached a new high of Rs 782.35, surging 8 percent on the BSE during Friday's intra-day trade. The spike came after the company announced it had entered into a ‘Development Agreement’ with Skybound Realty Private Limited, a M/s. K Raheja Corp. Group company, for the joint development of a land parcel in Mumbai.

On December 14, 2023, CG had signed a Term Sheet with the K Raheja Corp. Group company for the joint development of the company’s property ‘CG House’ located at Dr. Annie Besant Road, Worli, Mumbai. The property, built on leasehold land, measures 4,262.34 square meters.

In its FY24 annual report, CG stated that the company is poised to benefit from numerous sectoral opportunities. The National Infrastructure Pipeline (NIP) plans significant investments in energy, roads, railways, and urban development. Increased allocations in the Interim Union Budget for 2024-2025 also indicate a positive trend.

In agriculture, advancements supported by government schemes and infrastructure investments present opportunities. The cement industry’s growth, driven by economic expansion and infrastructure initiatives, requires various motors for production, creating further prospects.

The sugar sector's modernization and increased ethanol demand offer growth prospects. The expanding data center sector, driven by the digital economy's growth, presents opportunities for motors. Additionally, India’s energy demand projections in the oil and gas sector drive investments, presenting further opportunities for CG’s motors business.

BS