RPP Infra surges 9%, hits 52-week high on bagging orders worth Rs 1,000 cr

The company, on Wednesday, announced that it has received four letters of acceptance for four new projects

Shares of RPP Infra Projects erased early losses and jumped 9 per cent to hit a fresh 52-week high of Rs 81.75 on the BSE in Wednesday's intra-day trade after the firm said it has bagged four orders worth Rs 1,000 crore.

The company, in an exchange filing, on Wednesday announced that it has received four letters of acceptance for four new projects. READ HERE

Among the four orders that the company has won, one is from the Tamil Nadu Water Supply and Drainage Board under the Jal Jeevan Mission worth Rs 131.14 crore. It has bagged another order from the Highways Department as part of the Chennai-Kanyakumari Industrial Corridor Project which involves upgrading two stretches of the road at a total contract price of Rs 558.66 crore.

The third order is from the Chennai Municipal Corporation's Storm Water Drain department. The order value for this project is Rs 187.14 crore. The last order is from the Water Resource Department, Tamil Nadu for the extension, renovation and modernisation of the Lower Bhavani Project main canal in Erode District worth Rs 123.07 crore.

The company informed that as of now, its outstanding order book stands at Rs 3,200 crore. "These order books would result in improved financials of the company," it said.

Following this development, shares of the firm wiped off early losses to trade in the green. At 11.10 am, the scrip was trading 5 per cent higher at Rs 78.30 as against a 1.01 per cent rise in the S&P BSE Sensex. This is the third consecutive day of gain for the stock of the firm.  

RPP Infra Projects is a small-cap company operating in the construction sector.