Investors appear to welcome the Australian power generation company’s deal with Tesla Motors.
The post The Genex (ASX:GNX) share price shot up 12% earlier today. Here’s why appeared first on The Motley Fool Australia. –
Shares in the Australian power generation company have since retreated to 20.5 cents apiece, up 7.89 cents at the time of writing.
Under the deal, Genex’s Bouldercombe Battery Project, operating out of Rockhampton, Queensland, will integrate Tesla’s real-time trading and control platform, Autobidder. The aim is to “optimise dispatch behaviour from the BBP, maximising revenue and operating efficiency”.
Genex CEO James Harding called the news a “key milestone” in moving the project towards a financial close.
Why is the Genex share price lifting?
Back in early October, the company announced that Tesla would supply 40 of its Megapack utility-scale battery energy storage systems (BESS) to the project, and would be warrantied for 20 years.
The agreement also states that Tesla “will provide a minimum level of contracted revenues to support project financing of the development of BBP”, which will help push towards financial close.
Investors appear to welcome the news as Australia moves towards a greener, more renewable future.
Genex has promised that its portfolio of renewable power projects will provide clean energy to more than 350,000 homes by 2025, offsetting almost two megatonnes of CO2 per annum.
Here’s how Genex has performed recently…
The Genex share price has appeared relatively stable over the past 12 months, up 7.89%.
It saw dips occurring in early April and towards the end of November — coinciding with the financing for the Kidston Pumped Hydro Storage Project (K2 Hydro), and the sudden sell of director Simon Kidston’s shares just a few months later.
At the time of writing, Genex has a market capitalisation of around $219 million.
The post The Genex (ASX:GNX) share price shot up 12% earlier today. Here’s why appeared first on The Motley Fool Australia.
Wondering where you should invest $1,000 right now?
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.
*Returns as of August 16th 2021
The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.