Sterlite Tech shares gain for the second day, hits 52-week high after pact with Hygenco

Shares of Sterlite Technologies continued their winning streak for a second straight day, climbing as much as 7 percent to touch a fresh 52-week high of Rs 122 per share on July 17. The stock gained after the company announced a collaboration with Hygenco to set up Maharashtra's first green hydrogen production facility for optical fibre manufacturing.

Over the past three months, this smallcap telecom equipment stock has jumped 47 percent, significantly outperforming the benchmark Nifty 50, which has risen just 5 percent in the same period.

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The green hydrogen plant is located in Chhatrapati Sambhaji Nagar, Maharashtra, and will supply green hydrogen and oxygen to Sterlite Technologies’ glass preform facility.

According to the company’s management, this facility will make Sterlite one of the world’s first optical fibre manufacturers to use 100% green hydrogen in its production, supporting its goal to achieve net zero emissions by 2030.

Hygenco will build, own, and operate the plant, ensuring a reliable and commercially viable supply of green hydrogen for 20 years, the company said in an exchange filing.

“By leveraging 100% green hydrogen for its glass preform manufacturing, STL is setting a new global benchmark for decarbonisation in the optical fibre industry,” said Rahul Puri, CEO of Optical Networking Business at STL.

Hygenco CEO Amit Bansal also remarked that green hydrogen could become a game-changer in India’s journey towards sustainability.Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.