Navratna PSU Enters Nuclear Energy Segment Through JV With NPCIL; FII Stake Increases

On Tuesday, the Indian equity benchmarks traded lower during the afternoon session, with the benchmark Nifty 50 index declining 0.48 per cent to 23,916.05. Power and energy stocks remained in focus following strategic infrastructure and clean energy announcements. In this segment, NLC India's share price jumps 0.42 per cent to Rs 343.25 after the company announced the signing of a Memorandum of Understanding (MoU) with Nuclear Power Corporation of India Ltd (NPCIL).

NLC India Signs Nuclear Power JV MoU

NLC India Limited (NLCIL) signed an MoU with Nuclear Power Corporation of India Limited (NPCIL) to form a joint venture for development of nuclear power projects in India. The agreement was signed on May 25, 2026, by Shri Venkatachalam, Director (Power), NLCIL, and Shri Rajesh, Director (Technical), NPCIL, in the presence of senior leadership teams from both companies.

Under the proposed structure, the joint venture will focus on establishing 700 MW Indigenous Pressurised Heavy Water Reactor (PHWR)-based nuclear power projects in India.

Expansion Into Nuclear Energy

The collaboration also provides opportunities for investment in NPCIL’s existing and upcoming 700 MW PHWR projects through the proposed joint venture framework.

The companies may additionally evaluate other nuclear power reactor technologies and capacities based on future requirements and mutually agreed terms.

The development marks NLC India’s strategic entry into the nuclear energy segment as the company continues diversifying beyond conventional thermal and renewable power businesses.

India’s Nuclear Energy Push

The initiative aligns with India’s long-term target of achieving 100 GW nuclear power capacity by 2047 to support energy security and climate commitments.The move follows enactment of the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill in December 2025, which modernised India’s legislative and policy framework for the nuclear sector.

The companies stated that nuclear energy is expected to play a major role in providing reliable base-load power and supporting India’s clean energy transition.

NLC India Management Commentary

Commenting on the development, Shri Prasanna Kumar Motupalli, Chairman and Managing Director of NLC India Limited, said: “The partnership with NPCIL marks a significant milestone in NLCIL's strategic diversification into clean and sustainable energy sectors.He further added that nuclear energy would play a key role in ensuring India’s long-term energy security while supporting the country’s Net Zero Carbon emission goals.”

According to the company, the collaboration combines NLC India’s experience in the power sector with NPCIL’s expertise in nuclear energy to develop reliable and sustainable base-load power projects.

NLC India Stock Performance

NLC India Ltd shares were trading at Rs 343.25 during Tuesday’s afternoon session, up 0.42 per cent from the previous close of Rs 341.80.

The stock has delivered returns of around 42.41 per cent over the past one year, 46.84 per cent over two years and 260.21 per cent over the last three years.

The stock’s 52-week high and low stood at Rs 371.15 and Rs 222.05, respectively.

NLC India Shareholding Pattern

As per the latest shareholding pattern, Foreign Institutional Investors (FIIs) increased stake in NLC India Ltd to 3.61 per cent from 3.23 per cent in the previous quarter.

Domestic Institutional Investors (DIIs) also increased stake to 13.97 per cent from 13.71 per cent during the same period.

About NLC India 

NLC India Ltd is a Navratna Government of India enterprise established in 1956 and operates across lignite and coal mining, thermal power generation and renewable energy businesses.

As of March 31, 2025, the company operated 15 plants and 9 offices across India. NLC India’s standalone installed power generation capacity stood at 5,071.06 MW, while the group’s overall capacity stood at 6,731.06 MW.

What are your views on NLC India’s entry into the nuclear energy sector through its partnership with NPCIL? Share your thoughts in the comments below.
Disclaimer: This article is for informational purposes only and not investment advice.