Sarda Energy & Minerals Share Price Up 5.8% After Supreme Court Upholds SKS Power Resolution Plan

Sarda Energy & Minerals Ltd shares were up 5.80% after the company informed that the Supreme Court had rejected all appeals filed by unsuccessful resolution applicants against approval of its resolution plan for SKS Power Generation (Chhattisgarh) Ltd, removing the final judicial overhang on the acquisition process.

The disclosure, addressed to both BSE Ltd and National Stock Exchange of India Ltd, references the National Company Law Tribunal (NCLT) order dated 13 August 2024 which had approved the company’s resolution plan under the Corporate Insolvency Resolution Process (CIRP). The Supreme Court’s order, pronounced on 27 February 2026, dismisses the remaining challenges lodged by rival bidders.

The detailed judgment is awaited, the company noted.

Under India’s Insolvency and Bankruptcy Code framework, a resolution plan approved by the Committee of Creditors and confirmed by the NCLT can be challenged before appellate forums. The Supreme Court’s dismissal effectively affirms the NCLT’s sanction, subject to issuance of the full written order. In practical terms, this narrows residual litigation risk around the asset transfer.

Share Price Reaction On February 27, 2026

Shares of Sarda Energy & Minerals closed at ₹549.00 on the NSE, up ₹30.10 or 5.80% for the day, as of 3:30pm IST on February 27, 2026.

The stock opened at ₹518.90 and touched an intraday high of ₹561.00, against a previous close of ₹518.90. Day’s low was ₹515.95. Exchange data show a 52-week range of ₹396.60 to ₹639.75.

The move suggests that investors had been factoring in residual legal uncertainty tied to the SKS Power acquisition. With the apex court declining to interfere, that uncertainty may now recede though integration and capital allocation considerations remain.

Transaction Background And Regulatory Trail

The company’s communication cites its earlier NCLT approval dated 13 August 2024 for acquisition of SKS Power Generation (Chhattisgarh) Ltd under CIRP. Competing resolution applicants had challenged the approval before higher judicial forums.

CIRP is a time-bound insolvency mechanism under the Insolvency and Bankruptcy Code, 2016, designed to maximise value of distressed assets through competitive bidding. Once the NCLT approves a resolution plan, it becomes binding on stakeholders, subject to appellate review. The Supreme Court’s role is typically confined to questions of law or procedural infirmity.

By rejecting the appeals, the Court has at least procedurally cleared the path for implementation of the approved plan. The company has not yet disclosed timelines for full operational consolidation of the power asset, pending receipt of the detailed order.

Company Snapshot

Sarda Energy & Minerals operates across steel, ferro alloys, power and mining segments, with integrated facilities in Chhattisgarh. As per exchange data, the company has a market capitalisation of approximately ₹19,490 crore and trades at a price-to-earnings multiple of 18.32.

Its quarterly dividend amount stands at ₹0.37 per share, with a trailing dividend yield of 0.27%, based on available exchange metrics.

Conclusion

The Supreme Court’s dismissal of rival appeals marks a judicial inflection point in Sarda Energy’s pursuit of SKS Power. While the written order remains awaited, the exchange filing signals closure of protracted litigation linked to the resolution process.

Market response on the day indicates relief. Execution, however, now moves from courtroom to balance sheet.

Source:

• https://nsearchives.nseindia.com/corporate/SARDAEN_27022026130743_SEML.pdf
• https://www.nseindia.com/get-quote/equity/SARDAEN/Sarda-Energy-&-Minerals-Limited