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Ashoka Buildcon turns lowest bidder for Rs 27.91 billion NHAI projects

2024-11-19

Ashoka Buildcon Ltd announced on November 18, 2024, that it has emerged as the lowest bidder (L-1) for two National Highways Authority of India (NHAI) projects in West Bengal, with a combined value of Rs 27.91 billion. These Engineering, Procurement, and Construction (EPC) projects will be executed under the Hybrid Annuity Model (HAM).

The first project involves developing a four-lane economic corridor between Bowaichandi and Guskara-Katwa Road (Km 89.814 to Km 133) of NH 116A (Package-3). This project is valued at Rs 13.91 billion, excluding GST, and is expected to be completed within 910 days, including monsoon delays.

The second project entails building a four-lane economic corridor from Kharagpur to Chandrakona-Ghatal Road, spanning 41 km of NH 116A (Package-1). The quoted bid price for this project is Rs 14 billion, with a similar completion timeline of 910 days.

Ashoka Buildcon, a leading player in the construction and infrastructure sector operating under EPC and BOT models, has seen its stock rise significantly, rallying 65% this year. On November 18, its shares closed nearly flat at Rs 229.65 on the BSE.

The company reported a robust 334.27% year-on-year growth in net profit for Q2 FY25, reaching Rs 4.62 billion, compared to Rs 1.06 billion in the same quarter last year. Revenue from operations also rose by 15.5% YoY to Rs 24.89 billion, reflecting the company’s strong performance in the infrastructure sector. (cnbctv18)