Vikran Engineering Shares: There was a strong rise in the shares of Vikran Engineering, a company in the renewable energy sector, on Wednesday 24 December. Shares of the company jumped more than 15 percent in early trade to reach Rs 99.96. The rally came after the news that the company had received a huge order worth Rs 2,035 crore from Onyx Renewables.
This order has been placed on turnkey EPC (Engineering, Procurement and Construction) model. Under this, the entire responsibility of the design and engineering of the solar plant, supply of equipment, installation, testing and commissioning will be of Vikran Engineering. This project will be developed at different places in Maharashtra. The order also includes supply of solar PV modules and inverters.
The project will be completed in 12 months
Vikran Engineering has also clarified that this contract is not any kind of related party transaction. Also, the promoter or promoter group of the company has no direct or indirect interest in the ordering entity.
status of shares
Vikran Engineering shares were listed in the stock market on 3 September. The company’s shares were listed on NSE at Rs 99 per share, which was a premium of only 2 per cent over its IPO price of Rs 97. Following the listing, the stock jumped nearly 20 per cent to its record high of Rs 118.40 per share in November this year. However, the stock has fallen about 16 percent since then. Currently the company’s shares are trading about 3 percent above its IPO price.
company business
Vikran Engineering’s business primarily focuses on renewable energy and infrastructure projects. The company provides EPC services in the solar power segment, which includes end-to-end responsibility from design to engineering, procurement, installation, testing and commissioning.
In addition, the company also designs large grid-scale solar projects as well as modules, inverters and balance of systems. Vikran Engineering has also been active in projects related to railways, civil construction and power infrastructure. Its order book remains diverse due to its experience working with both government and private clients, and the growing focus on renewable energy in the country is expected to further support its business.
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