VA tech wabag share price

VA Tech Wabag Secures ₹1,000 Crore Mega Order for Desalination Plant, Expands into Solar PV Sector

VA Tech Wabag Ltd. continues to make waves in the water treatment industry. The company announced on October 15 that it has secured a mega order worth ₹1,000 crore from Indosol Solar Pvt. Ltd. This ambitious project involves the design, engineering, supply, installation, testing, and commissioning of a state-of-the-art 100 MLD desalination plant, to be executed over a 38-month period, followed by a 15-year Operation and Maintenance (O&M) contract.

This project will support Indosol Solar’s 10 GW integrated solar PV manufacturing unit in Andhra Pradesh, reflecting VA Tech Wabag’s expansion into the fast-growing solar energy sector. According to Saravanan Krishnan, Head of Desalination for VA Tech Wabag’s India cluster, “This mega order marks WABAG’s entry into the Solar PV sector, a key segment for the future.”

The Shift to Solar: A Strategic Move

This order represents VA Tech Wabag’s strategic entry into the Solar PV sector, an area of increasing importance as India looks to ramp up renewable energy projects. The plant will be built using cutting-edge desalination technologies that align with Indosol’s goal to integrate sustainable water management solutions within their solar PV manufacturing process.

By moving into the Solar PV sector, VA Tech Wabag is positioning itself as a leader in providing comprehensive solutions for water and energy-intensive industries.

A Second Win in Just One Week

This isn’t VA Tech Wabag’s only major achievement this month. On October 10, the company announced a large repeat order from Reliance Industries Ltd. for water treatment systems at its facilities in Dahej and Nagothane. VA Tech Wabag defines orders between ₹300 crore and ₹500 crore as “large,” making this a significant repeat business win.

While the exact size of the overall order book post these two wins is yet to be disclosed, the company previously guided that it expected its order book to be between ₹16,000 crore and ₹17,000 crore by the end of 2024. Additionally, VA Tech Wabag remains the preferred bidder in contracts worth over ₹6,000 crore, as noted by Skandaprasad Seetharaman, a senior executive at the company.

Soaring Stock Performance

Investors have taken notice of VA Tech Wabag’s stellar performance. VA tech wabag share price, Shares of the company surged 5.7% on Monday, closing at ₹1,652. In 2024, the stock has more than doubled, posting a remarkable 158% gain. These recent order wins are likely to further boost investor confidence, adding momentum to the stock’s already impressive trajectory.

Long-Term Impact and Future Outlook

As VA Tech Wabag continues to secure high-value contracts, its reputation as a leader in water management and desalination solutions is solidifying. The company’s foray into the Solar PV sector indicates a forward-looking strategy that taps into the growing demand for renewable energy and sustainable infrastructure.

With multiple large orders under its belt and a burgeoning pipeline of future deals, VA Tech Wabag is poised to meet or even exceed its target order book by year-end. Investors and industry analysts alike are eagerly watching the company’s progress, anticipating that it will continue to break new ground in both traditional and emerging sectors.

Conclusion:

VA Tech Wabag’s recent ₹1,000 crore order from Indosol Solar marks an exciting chapter in the company’s history as it expands into the Solar PV sector. With strong growth in both traditional water treatment systems and emerging markets like renewable energy, VA Tech Wabag is well-positioned to maintain its leadership in the industry. VA tech wabag share price, As the company builds on its successes, investors are keeping a close eye on its rapidly growing order book and stock performance.

FAQs:

1.What is the value of the new order VA Tech Wabag won?

A. VA Tech Wabag secured a ₹1,000 crore mega order from Indosol Solar Pvt. Ltd. for a desalination plant.

2.What is the scope of the new order for VA Tech Wabag?

A. The order includes design, engineering, supply, installation, testing, and commissioning of a 100 MLD desalination plant, followed by a 15-year O&M contract.

3.Which sector is VA Tech Wabag entering with this order?

A. This order marks VA Tech Wabag’s entry into the Solar PV sector, a growing industry in renewable energy.

4.How long will the project take to complete?

A. The desalination plant will be completed over a 38-month period, followed by a 15-year Operation and Maintenance contract.

5.What are the key technologies involved in the desalination project?

A. The project will incorporate state-of-the-art desalination technologies, ensuring efficiency and sustainability.

6.What was the other major order VA Tech Wabag announced recently?

A. On October 10, VA Tech Wabag announced a large repeat order from Reliance Industries Ltd. for water treatment systems.

7.What is VA Tech Wabag’s stock performance in 2024?

A. The company’s stock has surged by 158% in 2024, closing at ₹1,652 after a 5.7% rise on Monday.

8.What is VA Tech Wabag’s projected order book for the end of 2024?

A. VA Tech Wabag has guided for an order book size between ₹16,000 crore and ₹17,000 crore by year-end.

9.Is VA Tech Wabag the preferred bidder for other contracts?

A. Yes, VA Tech Wabag is the preferred bidder for orders worth over ₹6,000 crore.

10.What sectors is VA Tech Wabag focusing on for growth?

A. VA Tech Wabag is focusing on water treatment and desalination for industries like solar energy, as well as traditional sectors like oil and gas, manufacturing, and infrastructure.