De Nora India terminates purchase orders of BHEL contract; Stock sheds 1%

20 Apr 2022 , 01:44 PM

De Nora India Limited informed to the exchange that it has terminated the Purchase Orders (POs), in view of Bharat Heavy Electricals Limited's (BHEL) failure to take delivery of certain goods for the Project 2X660 MW ENNORE SEZ STPP for supply of Electrolytic Chlorination Plant, despite lapse of over 2 years and also failure to accept company's proposal to issue a new PO, after taking into account the costs inflicted / incurred due to the delayed delivery to BHEL, which has affected Company's ability to fulfil the conditions of POs and as such amounts to a fundamental breach of the POs.

As the project is terminated midway, financial impact is yet to be ascertained, informed company in a regulatory filing.

On Wednesday at around 1:30 PM, DE Nora India was trading at Rs485.40 apiece down by Rs5.2 or 1.06% from its previous closing of Rs490.60 apiece on the BSE.