Gayatri Projects surged nearly 17 per cent intraday on Friday after the company in a joint venture with Russian Construction Company, PTPS, has secured a highway contract worth Rs 1,255 crore. Reacting to the news, the share price of the company jumped 1.25 per cent up at Rs 684.00 at 2.05 pm. The scrip opened at Rs 674.85 and touched a high and low of Rs 790 and Rs 670.55, respectively. Later, the scrip ended 1.65 per cent up at Rs 686.70.
In a BSE filing the company said, “The contract is to be executed on an EPC (Engineering, Procurement & Construction) basis, which is in line with the management’s decision to maintain an asset-light model. The company has received a contract from National Highway Authority of India (NHAI) for rehabilitation and up-gradation to 4- laning of Angul-Sambalpur Section of NH-42 (New NH No. 55) Km 112.00 to Km 265.00 in the State of Odisha under NHDP-IV on EPC Mode.”
It further added that this contract win is also a strong signal of the management commitment to capitalise on the growing EPC opportunities, and comes on the heels of several new projects from a wide set of industries, ranging from National highways, to water distribution and underground mining.
“In the last 18 months, the company’s order book has more than doubled to over Rs 10,000 crore on a robust inflow of orders, all of which have been through the EPC model, ” the company said.
Gayatri Projects is a Hyderabad-based infrastructure and construction company with a presence across the segment, primarily undertaking road and irrigation projects.