Indus Towers shares climbed 0.9% to ₹370.7 after the company announced a memorandum of understanding with Replus Engitech, a subsidiary of HEG Advanced Materials, to develop battery energy storage systems for telecom sites.
The MoU outlines a two‑year production plan for 1.5 GWh of dedicated BESS capacity, a figure that could meet the projected 20% rise in power demands across India’s telecom infrastructure this decade, according to the filing.
Earlier this month, Replus had already secured ₹217.56 crore worth of lithium‑ion battery banks from Indus Towers, slated for delivery by March 31, 2027, a deal that firms up the company’s near‑term revenue pipeline.
Despite the upbeat deal, the stock remains 5% lower than its closing price a month ago and 15% down year‑to‑date, reflecting investor caution over the telecom sector’s slowing growth and the capital intensity of energy‑storage projects.
Analysts note that the MoU could lift Indus Towers’ operating margin by 0.5% if the BESS solutions translate into lower power purchase costs, though they caution that the 1.5 GWh target remains a long‑term play.
Looking ahead, the company has not yet issued revised guidance for Q4, but the MoU positions it to capture a growing share of the telecom energy‑storage market, which is expected to grow at 12% CAGR over the next five years.