Kirloskar Oil Engines soars 11%, extends two-day rally to 31%, on AI data center order win- Grow Mudra

Kirloskar Oil Engines soars 11%, extends two-day rally to 31%, on AI data center order win

23 Jun , 2026 By : Debdeep Gupta

Shares of Kirloskar Oil Engines (KOEL) surged more than 10% to Rs 2,644.50 on Tuesday, extending gains a day after hitting the upper circuit following the announcement of a major data centre power systems order and a rating upgrade by JM Financial.

The stock had rallied 20% to hit the upper circuit at Rs 2,389.80 on Monday after the company disclosed a significant order from digital infrastructure firm HyperNext. Investor sentiment was further boosted after JM Financial upgraded the stock to "Buy" from "Add" and raised its target price to Rs 2,430 from Rs 1,955.

In an exchange filing, KOEL said it has secured an order for 192 MW of power generation capacity from HyperNext, comprising 96 units of its 2500 kVA Optiprime Dual Core power systems. The company described the contract as one of the largest deployments of high-capacity power systems for hyperscale data centres in India.

The deployment will support HyperNext's AI-enabled and hyperscale-ready data centre infrastructure, which is being developed to meet rising demand from cloud computing, artificial intelligence and mission-critical enterprise workloads.

"As we continue to expand our digital infrastructure footprint, reliability and performance remain central to our design philosophy," said Harsh Macwann, Group CEO of HyperNext. "KOEL's Optiprime solution offers the scale, engineering sophistication, and proven operational performance required for our mission-critical environments."

KOEL said its Optiprime platform is engineered for hyperscale and mission-critical applications, offering high power density, operational efficiency and reliability while optimising data centre footprint utilisation.

"This order reflects the growing confidence that digital infrastructure leaders place in KOEL's engineering capabilities and our ability to deliver reliable, high-performance power solutions at scale," said Madan Patil, President - Global Powergen Business, KOEL.

The company added that the rapid adoption of artificial intelligence, cloud computing and data-intensive applications is fuelling unprecedented demand for digital infrastructure, increasing the need for advanced and reliable power generation solutions.