KEC International jumps over 7% as Delhi HC stays Power Grid's bidding ban

The Delhi High Court also allowed KEC International to keep on participating bidding process for future tenders from Power Grid Corp

KEC International share price today jumped over 7 per cent in Monday’s session as the Delhi High Court put Power Grid Corp’s bidding ban in abeyance. KEC International share price jumped 7.57 per cent in the intraday trade. 

 

The stock price rose to the day’s high of ₹764.80, the highest level since March 28. The scrip extended gains to a second session. KEC International had its 0.30 million shares changed hands thus far in trade as against its two-week average volume of 0.05 million. 

 

KEC International share price pared some gains and was trading 4.62 per cent as of 10:33 AM, as compared to 0.62 advance in the Nifty 50 index.   FOLLOW LATEST STOCK MARKET UPDATES TODAY LIVE

Why did KEC International share price rise today?

 

KEC International got a relief as the Delhi High Court put Power Grid Corp’s tender restriction in abeyance, and also allowed the company to keep on participating in the bidding process. 

 

Power Grid Corp banned KEC International from participating in tender processes for nine months in an order dated on November 18.

 

The Delhi High Court passed the order on December 17, which the company received on December 19, KEC International said in the exchange filing. 

 

However, KEC International clarified that there is unlikely any material impact as Power Grid Corp does not contribute significantly to its total order book. 

 

The company has total order intake of ₹17,066 crore on an year-to-date basis in the current financial year. Out of the total order intake, Power Grid Corp contributes only 4 per cent, against the 27 per cent contribution recorded in the previous financial year. 

 

Power Grid Corp consists 15 per cent of KEC International’s total unexecuted order book worth ₹39,325 crores.   ALSO READ | Fedbank Financial Services gains 5% as board clears ₹200-crore NCD issue 

KEC International is confident to reach its annual order intake target based on robust tender pipeline of over ₹1.80 trillion and the healthy position of ₹4,000 crore in lowest bidder category. 

 

The company reported that its profit after tax (PAT) advanced 88 per cent on the year to ₹161 crore during July to Sept quarter (Q2FY26). The Earnings before interest, taxes, depreciation, and amortization (Ebitda) advanced 34 per cent on the year to ₹430 crore. The topline increased 19 per cent on the year to ₹6,092 crore, KEC International said in the investors’ presentation. 

 

KEC International is a global infrastructure, procurement, and engineering major. Its presence spans across verticals of power transmission and distribution, civil, transportation, renewables, oil and gas pipelines and cables and conductors.The company conducts business in over 110 countries.