Ashoka Buildcon rises 4% on emerging lowest bidder for Rs 918-crore project

Ashoka Buildcon secured the project from Brihanmumbai Municipal Corporation (BMC), Mumbai, for construction of flyover arm1 arm-2 at T Junction on Sion Panvel Highway

Ashoka Buildcon shares rose as much as 4 per cent in Friday's (October 11) intraday trade and registered a high of Rs 253.5 per share. The stock jumped after the construction engineering company was declared as the lowest bidder (L-1) for the construction of flyover arm1 arm-2 at T Junction on Sion Panvel Highway, Mumbai.

At around 10:47 AM, Ashoka Buildcon share price was up 2.37 per cent at Rs 250.05 per share. In comparison, the BSE Sensex was down 0.13 per cent at 81,506.16 at around the same time. The market capitalisation of the company stood at Rs 7,019.48 crore at the time of writing of this report.

Ashoka Builcon secured the project from Brihanmumbai Municipal Corporation (BMC), Mumbai. The project has to be completed in 30 months, including monsoon, and is worth Rs 918 crore (excluding goods and services tax (GST)).

On Thursday, too, another Joint Venture of the company, in which Ashoka Buildcon is the lead member, was declared as the L-1 bidder for an integrated infrastructure development project for 20M and above wide roads, and construction of various major and minor structures (viz. flyover, minor bridges, VUPS, PUPS etc) and allied electrical works (street light) in TPS - 10 & TPS - 11 under NAINA project.

The project was secured from City and Industrial Development Corporation of Maharashtra Limited (CIDCO) for Rs 1,667.78 crore. It has to be completed within 1,460 days from the commencement date.

Ashoka Buildcon is an Indian construction and infrastructure development company that builds highways, roads, bridges, and urban infrastructure. Established in 1976, the company has grown significantly and is involved in various large-scale projects across India. They focus on engineering, procurement, and construction (EPC) contracts, as well as build-operate-transfer (BOT) projects. 

With experience in executing or currently handling 41 Public-Private Partnership (PPP) projects, Ashoka Buildcon has a broad footprint across more than 20 states in India.

In the past one year, Ashoka Buildcon shares have gained 85 per cent against Sensex's rise of 23 per cent.