Welspun Enterprises receives PCOD for new Rs1,070cr project, stock slips ~4%

Provisional Commercial Operation Date is from August 5 in respect of project for 4–Laning of Chutmalpur- Ganeshpur section of NH-72A & Roorkee – Chutmalpur- Gagalheri (Uttar Pradesh/ Uttarakhand) section of NH-73.

Aug 06, 2020 12:08 IST India Infoline News Service

Welspun Enterprises Limited informed the exchanges Wednesday that the company has received PCOD (Provisional Commercial Operation Date) with effect from August 5, 2020 in respect of project for 4 – Laning of Chutmalpur- Ganeshpur section of NH-72A and Roorkee – Chutmalpur- Gagalheri (Uttar Pradesh/ Uttarakhand) section of NH-73.

“The company is pleased to inform receipt of PCOD w.e.f. from August 5, 2020 in respect of project for 4 – Laning of Chutmalpur- Ganeshpur section of NH-72A & Roorkee – Chutmalpur- Gagalheri (Uttar Pradesh/ Uttarakhand) section of NH-73 under Hybrid Annuity Model (“HAM”) executed for National Highways Authority of India (“NHAI”),” company said.

Welspun Enterprises is currently trading at Rs63.50 down by Rs2.55 or 3.86% from its previous closing of Rs66.05 on the BSE.

The project completion cost is over Rs1,070cr. With this event, the company is entitled to receive annuity payment from NHAI every six months in accordance with the provisions of HAM Concession. This is the second HAM project completed by the company post completion of the country’s first HAM project – Delhi-Meerut Expressway Package-1.

“This is a proud moment for us as we have managed to achieve this milestone in this challenging environment. We are thankful to the Authorities for their guidance and support. The execution of this project strongly showcase our operational capabilities. We will continue to focus on our journey of excellence which will go a long way in creating long-term sustainable value for all stakeholders,” B.K. Goenka, Chairman, Welspun Group said.

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