Gujarat Metro Rail Corporation has terminated its contract with IL&FS Engineering and Construction Company
for the Ahmedabad Metro Corridor, the latter informed the exchanges in a press note on Friday.
“Gujarat Metro Rail Corporation has informed us of its decision to terminate the contract of the viaduct corridor from Gyaspur Depot to APMC, Juhapura/Vejalpur, to Shreyas of North-South Corridor for Ahmedabad Metro Rail Project Phase-1,” IL&FS Engineering and Construction said in a release to the BSE.
Gujarat Metro has cited “slow progress” as the reason behind the termination of the contract.
IL&FS Engineering and Construction said that Gujarat Metro may encash its bank guarantees worth Rs37.46cr.
IL&FS Engineering & Construction Co Ltd share price ended at Rs14.50, down Rs0.15, or 1.02%, from its previous close of Rs14.65 on the BSE.
The scrip opened at Rs14.45 and touched a high and low of Rs15 and Rs14.35, respectively. A total of 24,194 (NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs191.44cr.