Reliance Power Surges 12%, Crosses ₹70 for First Time in 10 Years

Reliance Power Surges 12%, Crosses ₹70 Mark After a Decade: What’s Behind the Rally?

In a surprising but welcome move for long-term investors, Reliance Power Ltd shares skyrocketed nearly 12% on Tuesday, crossing the crucial ₹70 level for the first time in over 10 years. The Anil Ambani-led company’s stock closed at ₹70.15, igniting optimism among shareholders and market watchers alike.

 What Triggered the Rally?

Several factors have contributed to this recent surge in Reliance Power’s stock price:

1. Debt Restructuring Efforts: The company has been aggressively reducing its debt, and recent reports suggest a significant improvement in its balance sheet health.

2. Positive Sentiment Around Group Stocks: Other Anil Ambani Group companies like Reliance Infrastructure and Reliance Capital have also shown momentum, creating a ripple effect.

3. Improving Operational Metrics: Power generation capacity utilization has reportedly improved, while fuel supply arrangements are stabilizing.

 A Decade in the Making

Reliance Power, once a market favorite during its IPO in 2008, had seen a steep fall from grace due to over-leveraging, regulatory hurdles, and weak financials. The stock had remained below ₹70 since 2013, testing investor patience for years.

This recent rally marks a psychological breakthrough, indicating possible revival signals and return of investor confidence in Anil Ambani-backed ventures.

 Market Reactions

Analysts remain cautiously optimistic. While the rally is technically strong, experts advise keeping an eye on:

• Upcoming quarterly results

• Power purchase agreements (PPAs)

• Progress on deleveraging and restructuring plans

Retail investor interest has surged, and social media is buzzing with comments like “Anil Ambani’s comeback?” and “Finally some light for Reliance Power holders!”

 What’s Next?

While it’s too early to call it a full-blown turnaround, the breakout above ₹70 could act as a support zone for further movement. Traders will watch for volume consistency, institutional buying, and further announcements from the company regarding operational growth.

 Final Thoughts

Reliance Power’s rally signals not just a price shift, but a potential revival story in the making. Whether this surge sustains or corrects will depend on strong fundamentals and execution—but for now, the market is clearly hopeful.