NCC shares rally 5% after securing Rs 1,076 crore Andhra Pradesh drinking water project

Shares of NCC gained up to 5% on Tuesday, hitting a day’s high of Rs 137.30 on the NSE, after the company received a letter of acceptance worth Rs 1,076.71 crore, excluding GST, from the Rural Water Supply and Sanitation Department, Visakhapatnam, Government of Andhra Pradesh.

According to an exchange filing, the letter of acceptance is for providing drinking water supply under a multi-village scheme on the Yeleru Reservoir for the Anakapalli segment in Anakapalli district of Andhra Pradesh.

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The company further said that the order is scheduled to be executed over 24 months, including the construction period.

The order has been awarded by a domestic entity and covers all general conditions of the contract. The promoter, promoter group and group companies have no interest in the entity that awarded the order, and the contract does not fall under related-party transactions.

Last month, the company received three orders totaling Rs 430.19 crore (excluding GST), and these orders pertain to the buildings division of the company and were received in the normal course of business of the company and do not include any internal order.

The promoters/promoter group/group companies do not have any interest in the entities that have awarded the projects to the company and don’t fall under related party transactions. Before this, the company received three orders of Rs 1,052 crore excluding GST.

Of these three orders, Rs 590.38 crore pertains to the buildings division and Rs 462.33 crore pertains to the water division of the company.

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NCC share price movement

In the last one month, the stock was down 12.24% and 19.42% in the current calendar year so far. In the last one year, the stock was down 36.76% and nearly 16% in the last three years. In the last five years, the stock was up 59%.

Disclosure: This article has been written by Surbhi Khanna, who is not a SEBI-registered Research Analyst or an investment advisor . Surbhi Khanna does not hold any financial interest in Economic Times as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of the EconomicTimes Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment.