Shakti Pumps zooms 20% on Rs 1,603-crore order win from MSEDCL

The company has received a Letter of Empanelment from MSEDCL for 50,000 Off-Grid SPWPS pumps for the entire state of Maharashtra

Shares of Shakti Pumps (India) (SPIL) were locked in the 20-per cent upper circuit, hitting a new peak of Rs 1,108.35 on the BSE on Thursday, after the company won orders worth of Rs 1,603 crore from Maharashtra State Electricity Distribution Company Limited (MSEDCL).

The stock surpassed its previous high of Rs 963 touched on October 6, 2023. In comparison, the S&P BSE Sensex was down 0.55 per cent at 65,514 at 10:19 AM.

"The company has received a Letter of Empanelment from Maharashtra State Electricity Distribution Company for 50,000 Off-Grid Solar Photovoltaic Water Pumping Systems (SPWPS) pumps for the entire state of Maharashtra under Component-B of PM-KUSUM scheme (Phase-III)," the company said in an exchange filing.

The total value of the order is around Rs 1,603 crore (inclusive of GST) which is to be executed over 24 months, it added.

Earlier this month, on October 7, the company informed that it has received Letter of Intent of Rs 149.71 crore (inclusive of  GST) for implementation of grid connected Solar Water pumping System (Mandatory replacement of existing grid connected AC Pump with BLDC Pump Sets) Under PM KUSUM Scheme (Component C) from Ajmer Viduyt Vitran Nigam Limited. The order is to be executed within nine months from the date of issue of LoI and 5 years of comprehensive maintenance.

The project involves replacing inefficient electric pump sets with BLDC Solar Pump sets, where the pump set will run on Power Generated via Solar & surplus electricity can be sent to Grid.

These benefits farmers across India by enhancing irrigation capabilities, reducing reliance on traditional energy, and providing the opportunity to earn from surplus power sales to Discoms, the company had said.

SPIL is engaged in manufacturing of pumps, motors and their spare parts. The core products of the company are Engineered Pumps, Industrial Pumps, and Solar Pumps etc.

Presently SPIL is working in many states and, in the near future, expects to receive new orders under PM-KUSUSM scheme III, for approximately 8.57 lakh solar pumps, sanctioned by SECI (Solar Energy Corporation of India).

"The Uganda project has also commenced in the year, which aligns with the green energy plans in Africa. Collaboration for similar projects is expected from the adjoining African nations as well. SPIL is already a preferred partner for major export markets in the USA and the Middle East, and efforts are being taken to expand this into other continents as well," the company said in its FY23 annual report.