RIR Power Electronics share price jumped over 4% on Thursday despite the broader weakness in the Indian stock market. The small-cap sock rallied as much as 4.77% to ₹225.15 apiece on the BSE.
The surge in RIR Power Electronics share price came after the company announced that the government of Odisha approved fiscal support for Phase 1 of the company’s Silicon Carbide (SiC) semiconductor plant in Bhubaneswar.
“The Electronics & Information Technology Department, Government of Odisha, has approved fiscal support for Phase 1 for RIR Power Electronics Limited towards its Silicon Carbide (SiC) semiconductor manufacturing facility in Odisha,” RIR Power Electronics said in a regulatory filing.
Odisha Computer Application Center (OCAC), the nodal agency for Electronics & Information Technology Department, Government of Odisha has approved and notified the fiscal support agreement for pro-rata disbursement of capital subsidy to the Company, the company added.
This project was approved by the State-Level Single Window Clearance Committee (SLSWCC) and the state cabinet in the last fiscal year with a total project cost of ₹618 crore for both, phase-1 and phase-2.
Capital expenditure incurred is ₹65 crore and eligible government capital subsidy is ₹32 crore.
The facility will manufacture high-power SiC MOSFETs, IGBTs and diodes ranging from 3.3 kV to 20 kV, catering to key industries, including Electric Vehicles (EVs), Renewable Energy and Power Grid Systems, Power Electronics and Industrial Automation.
RIR Power Electronics Share Price Performance
RIR Power Electronics share price has declined 19% over the past month and is down 14% in the last six months. On a year-to-date (YTD) basis, the small-cap stock has fallen 26%. Despite the recent weakness, the stock has shown signs of a short-term rebound, gaining 18% in the past three months.
Over the long term, however, RIR Power Electronics share price has delivered exceptional returns. The stock has surged 260% in two years and delivered a staggering 8,185% return in the last five years, making it a notable multibagger in the broader market.
At 1:15 PM, RIR Power Electronics share price was trading 2.61% higher at ₹220.50 apiece on the BSE.
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