JSW Energy has monetised part of its holding in JSW Steel through a bulk deal worth Rs 3,150 crore as the company looks to release capital for its aggressive power generation expansion plans. In an exchange filing, JSW Energy said it sold 25 crore equity shares of JSW Steel on the NSE on May 18 as part of a strategic liquidity release.Meanwhile, Adani bull investor GQG Partner has picked up about 1.5 crore shares worth Rs 1,890 crore in the same transaction, while SBI Mutual Fund bought about 1 crore shares worth Rs 1,260 crore.Following the transaction, JSW Energy will continue to hold 4.5 crore shares of JSW Steel.The company said the stake sale would help improve return on capital employed while strengthening capital allocation discipline and supporting long-term growth initiatives. The monetisation comes at a time when JSW Energy is rapidly scaling up both renewable and thermal power capacity.The company added 2.6 GW of capacity during FY26, including both organic renewable additions and acquired assets from O2 Power. Its total locked-in capacity now stands at 32.1 GW, comprising 13.5 GW operational capacity, 14 GW under construction and 4.6 GW in pipeline projects.Axis Securities said this provides "clear visibility" toward the company’s target of reaching 30 GW capacity by 2030. The brokerage maintained a “Buy” rating on the stock with a target price of Rs 630 per share.JSW Energy has increasingly positioned itself as one of the major private-sector players in India’s renewable and firm power expansion cycle. The company is also simultaneously expanding thermal power capacity amid rising demand for reliable baseload electricity.The broker said that the company remains well-positioned with Salboni 3.2 GW and 1,800 MW of the KSK brownfield project as India renews focus on firm power generation.Construction work has already commenced for the first phase of the Salboni thermal project after signing a 1,600 MW power purchase agreement in March 2025. The company has also signed another PPA for the second phase with West Bengal’s distribution utility, taking the total Salboni project capacity to 3.2 GW.The brokerage also noted that supply chain risks have been substantially reduced through the Toshiba-JSW joint venture for turbine generators and the planned acquisition of GE Power’s boiler business.Meanwhile, the 1,800 MW KSK thermal project is progressing on schedule, with the first 600 MW unit expected to be commissioned by the third quarter of FY28. On the renewable side, JSW Energy plans to add another 3 GW capacity in FY27, with commissioning expected to be equally split between the first and second halves of the financial year.The company expects 35-40% of the upcoming additions to come from wind projects, while the remaining capacity will largely be solar.Axis Securities said JSW Energy remains relatively insulated from near-term execution risks despite broader sector challenges involving grid connectivity and regulatory issues."Curtailment losses were contained at around Rs 50 crore for FY26 and will be resolved by July 2026," it noted.