Afcons Infrastructure Bags Rs 175 Cr Reliance Contract

Hey there, finance enthusiasts! Got some interesting news from the infrastructure sector today. Afcons Infrastructure Limited (NSE: AFCONS) has just announced a significant win that’s sure to bolster its project pipeline.

The Big Scoop: A Major Contract from Reliance Industries

Afcons Infrastructure has received a Letter of Commitment (LoC) from none other than Reliance Industries Limited (RIL) for a substantial project. We’re talking about Civil & Structural Erection work at RIL’s facility in Jamnagar, Gujarat. This is a big deal, as securing a contract from a conglomerate like RIL speaks volumes about Afcons’ capabilities and reputation in the industry.

What’s the Value?

The estimated value of this contract stands at an impressive Rs 175 Crores, excluding GST. It’s important to note that this is an indicative value, meaning the final payment will be based on the actual work executed as per the contract. The mode of contract is specified as BOQ (Bill of Quantities), which is a common method in large-scale construction projects.

What Does This Mean for Afcons?

For Afcons Infrastructure, this contract is a strong addition to its order book, showcasing its continued expertise in large-scale civil and structural projects. It reinforces their position as a key player in India’s infrastructure development. While the exact completion timeline will be mutually agreed upon, securing such a project from a major client like RIL is a positive indicator for the company’s future revenue streams and operational strength.

At the time of this announcement, Afcons Infrastructure’s stock was trading around Rs 428.85, showing a slight dip of 1.0%.

This new contract highlights Afcons’ ongoing contribution to India’s industrial landscape and its ability to secure projects from top-tier clients. Keep an eye on how this project unfolds!

source: Corporate Announcement

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