Hitachi Energy shares jump 19% to hit 52-week high on reports of India expansion plans

Hitachi Energy India shares gained as much as 19.59% on Thursday, April 25, to hit a fresh 52-week high of ₹9,821.95 piece on the NSE after media reports suggested that the company is planning for expansion in India by opening more global capability centers (GCC) amid the growing energy demand.

By opening more GCCs, Hitachi Energy is planning to expand local operations and give a push to scale up renewable energy generation in the country, according to a report by Reuters.

The company is eyeing Hyderabad and Pune for setting up its new GCCs.

Opening of the new centres in India may take six months to one year, according to Venu Nuguri, the Managing Director and CEO of the company's India unit, the report mentioned.

However, the company has not disclosed further details about its India expansion plan.

Nuguri also added that the new GCC, which will be a budget-friendly offshore centre, will operate alongside Hitachi Energy India. However, it will be under a different Indian entity of Hitachi Energy.

The power consumption demand in India grew 8% in the fiscal year 2023. As per the estimates of the International Energy Agency, the country is expected to add electricity demand roughly equivalent to the current consumption of the United Kingdom in the coming three years.

The Swiss power transmitter manufacturer expects the order book to grow two to three times, considering the high energy demand in India.

Formerly known as ABB Power Products and Systems India Limited, Hitachi Energy India is a global leader in power technologies, providing the most comprehensive grid portfolio across the entire value chain.

Shares of Hitachi Energy India closed at ₹9329.5 apiece, up 13.6%, on the NSE.