REC, PFC-owned penny stock: RattanIndia Power share price jumps 45% in four straight sessions. Do you own?

RattanIndia Power, a penny stock jointly owned by state-run giants REC and PFC, witnessed a sharp rally on the bourses this week, surging over 40 percent in just three trading sessions. On Wednesday, June 11, the stock jumped another 12.71 percent to hit an intraday high of ₹16.14 on the NSE. This marks a staggering 45.28 percent gain over the last five trading days, with investor interest surging amid heavy volumes.

More than 19.47 crore shares changed hands during the session, highlighting heightened speculative activity. The sudden rise has sparked regulatory attention, with both the BSE and NSE seeking clarification from the company on the unusual price and volume movement.

In response to the exchanges, RattanIndia Power issued a statement clarifying that it was unaware of any specific developments behind the surge. “The movement in price and volume is purely market driven. As a listed entity, the Company has no control over trading activity in the secondary market,” it said. The company further noted that no undisclosed material information warranted the current surge in the stock price.

Recent Stock Trend and 52-Week Range

Despite the recent rally, RattanIndia Power has had a turbulent year. The stock is still down over 16 percent on a one-year basis. However, June has seen a turnaround with a 31 percent rally so far, continuing a four-month upward trend. The stock had risen 14.3 percent in May, 1.4 percent in April, and 10 percent in March. This came after steep declines of 20 percent in February and 18.6 percent in January.

At its current levels, the stock is still trading more than 18 percent below its 52-week high of ₹19.78, which it hit in June 2024. On the flip side, it has bounced back strongly from its 52-week low of ₹8.44 recorded in March 2025.

Key Shareholding and Ownership

As of the March 2025 quarter, REC held 9.25 crore shares or a 1.72 percent stake in the company, while PFC owned 23.51 crore shares or 4.38 percent. Apart from these two public sector lenders, mutual funds and banks collectively hold a minor stake, at 0.14 percent and 0.35 percent respectively. Foreign portfolio investors (FPIs) hold a 5.25 percent stake in the firm.

Other Corporate Developments

Over the weekend, the company informed stock exchanges of the resignation of Whole-time Director Baliram Ratna, effective June 6, 2025, citing personal reasons. While this development is not linked to the stock movement, it adds to the list of recent updates from the company.

Company Profile and Earnings Snapshot

RattanIndia Power is one of India’s leading private sector thermal power producers, with an installed capacity of 2,700 MW—split equally between two large thermal plants in Amravati and Nashik, Maharashtra. The company's power assets, which are valued at ₹18,615 crore, are spread across 2,400 acres.

However, despite its scale, the company reported weak financial performance for the fourth quarter of FY25. Consolidated net profit plunged 99 percent year-on-year to ₹126 crore, from ₹10,666 crore in the same period last year—a result that had included extraordinary income. Revenue grew modestly by 3 percent to ₹1,029 crore from ₹996 crore in Q4 FY24.

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