Aurionpro Solutions hits 5% upper circuit for 5th straight day; here's why

The project valued close to Rs 190 cr received from High Court of Madhya Pradesh for the complete digitisation and implementation of video surveillance systems and live audio-visual streaming system

Shares of Aurionpro Solutions were locked at 5 per cent upper circuit at Rs 257.70 on the BSE on Wednesday after the company announced order win from High Court of Madhya Pradesh for the complete digitisation and implementation of video surveillance systems and live audio-visual streaming system.

The stock of the information technology (IT) software products company was frozen at the upper circuit band for the fifth straight day. It was trading at its highest level since January 2018. Till 01:15 pm, a combined 275,000 shares had changed hands and there were pending buy orders for around 20,000 shares on the NSE and BSE.

Aurionpro said this project is valued close to Rs 190 crore and comprises of supply, installation, commissioning and maintenance of Integrated Video Surveillance System (MPHC-IVSS) & Court Room Live AudioVisual Streaming System (MPHC-CLASS) across 48 District and Session Courts and 160 Civil Courts under the High Court of Madhya Pradesh. The tenure of the project will include implementation followed by the maintenance & support for a period of 4 years, the company said.

Last week, Aurionpro had entered into a definitive agreement for acquisition of majority stake (51 per cent) in Toshi Automatic Systems Pvt. Ltd, a manufacturer of transit business automated products. The company shall acquire stake, in tranches upto June 2022, through combination of subscription and acquisition i.e partly by subscription of fresh equity to be issued by TASPL and partly by acquiring the equity stake from existing shareholders.

"The acquisition of TASPL will allow Aurionpro to further consolidate its position as the only integrated player in Automatic Fare Collection (AFC) & transit solutions space in India. This acquisition will also provide Aurionpro with substantial cost advantage, reduced supply chain risks & high scalability in the business and will also help in enhancing data center business, especially with fire safety gates and junction box that TASPL manufactures," the company said.

During July-September quarter (Q2), Aurionpro signed multiple deals with some large banks from East Asian markets for enhancement and upgrades. "We are also seeing good momentum in domestic markets. The outlook for this segment remains positive. With robust order book in hand of more than Rs 500 crore, we are optimistic of sustainable revenue growth and profitability in the coming years," the management said while announcing Q2 results on October 25, 2021.