NLC India, in a regulatory filing to BSE, said its board has granted in-principle approval for the listing of NLC India Renewables Limited (NIRL), a wholly owned subsidiary of the company. The proposed listing will involve the dilution of up to 25% equity stake through one or more public offerings, subject to regulatory and government approvals.
The move is aligned with the Government of India’s National Monetisation Pipeline objectives. The approval will now be forwarded to the Ministry of Coal, which will subsequently place it before the Department of Investment and Public Asset Management (DIPAM) for final clearance.
Meanwhile, in a separate development for shareholders, the board declared an interim dividend of 36%, amounting to Rs 3.60 per equity share of face value Rs 10 for FY2025–26. January 16, 2026, has been fixed as the record date to determine eligible shareholders, and the dividend will be paid within the statutory timelines.
Additionally, the board approved an investment of up to Rs 66.60 crore in NLC India Renewables Limited through equity subscription at face value. The investment will be deployed in one or more tranches, subject to statutory approvals, and will be used to fund green energy projects being executed through joint venture companies.
These announcements have led to a positive reaction from the investors, as the proposed listing could unlock value in the company’s renewable energy business, while the dividend declaration enhances near-term shareholder returns.
Valuation and Technical Overview
On the valuation front, NLC India is trading at a P/E ratio of 13.4. The stock’s Price-to-Sales ratio stands at 2.22, while the Price-to-Book ratio is 1.59, indicating moderate valuation levels compared with broader market benchmarks.
From a technical standpoint, Trendlyne data shows the stock’s 14-day Relative Strength Index (RSI) at 51.5, placing it in the neutral zone. An RSI below 30 typically indicates oversold conditions, while readings above 70 signal an overbought zone. The current level suggests a balance between buying and selling pressure, with no clear momentum bias.
Furthermore, strengthening the near-term outlook, NLC India is trading above 6 out of its 8 key Simple Moving Averages (SMAs). This alignment of moving averages is generally considered bullish, indicating that the stock is maintaining upward momentum and showing signs of underlying strength in the trend.
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