The total cost of the project is worth Rs72.6cr. The company made the announcement in a BSE press release on Friday evening post market hours. Despite the news, shares of the company were down ~1% in early morning trade on Monday.
"This is an item rate contract and the consideration amount actually payable to the company shall be arrived at on the basis of the actual quantity of work carried out by the company in accordance with the unit rate agreed between the parties," mentioned McNally Bharat Engineering in the exchange filing.
The filing also mentioned that the consideration amount is inclusive of all taxes and levies except the goods and service tax, which will be paid extra at the applicable rate. Execution of the agreement shall terminate upon the completion of all works under the scope of services or earlier at the discretion of ESR Warehousing.
McNally Bharat Engineering Company Ltd is currently trading at Rs8.70 down by Rs0.1 or 1.14% from its previous closing of Rs8.80 on the BSE.
The scrip opened at Rs8.80 and has touched a high and low of Rs8.80 and Rs8.70 respectively. So far 1,214 (NSE+BSE) shares were traded on the counter.