Sterling and Wilson Renewable Energy shares surged 9% to Rs 327.50 in intraday trade on Tuesday after the company successfully bid for solar photovoltaic projects worth Rs 2,100 crore.

“The balance of system (BoS) package includes four blocks, 300 MW each, of NTPC Renewable Energy’s proposed 1,200 MW solar PV project at the Khavda RE Power Park in Kuchiran. The total bid value, including 3 years of operation and maintenance, will amount to Rs 2,100 crore,” the company said.

The stock has outperformed the broader market in 2023, with shares soaring 19%. The S&P BSE Sensex fell 5.3% over the same period.

Sterling & Wilson provides design, detail engineering, procurement, construction, installation, commissioning, and operation and maintenance services for utility-scale, rooftop and floating solar projects based on turnkey EPC and BoS (Balance of System) solutions. The company also offers solar-plus-storage solutions.

Regarding the industry outlook, Sterling & Wilson said in an investor presentation that the unprecedented commodity supercycle over the past 2 years, coupled with Covid-19, has caused huge losses in the solar industry, with independent power producers (IPPs) delaying projects.

“Significant consolidation observed within the industry with stronger players expected to capture greater market share. The solar industry is poised for long-term growth as independent power producers have large global capacity addition plans. Global tariffs have been revised upwards with price adjustments, and many projects are expected to be completed in FY23,” the company added.

Meanwhile, Reliance Group’s investment in the company has resulted in a strengthened balance sheet and increased confidence among customers, suppliers, bankers and other stakeholders.

The company is focused on capturing a significant share of new EPC capacity added in FY23 in locations such as the US (23GW), Europe (16GW), Australia (3GW) and India (16GW). The company is carrying out development activities in the international market to get more EPC business.