PNC Infratech gains over 1% in early trade after securing Rs 1,174 crore road project

PNC Infratech, whose share price reached a 52-week high in the previous session, witnessed a more than 1 percent increase in early trade on January 17. This surge followed the company’s announcement of winning a significant Rs 1,174 crore road project in Madhya Pradesh.

As of 9:27 am, PNC Infratech was trading at Rs 412.95 on the BSE, marking a gain of Rs 6.70 or 1.65 percent.

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The newly acquired project involves the construction of a 41-km four-lane Western Bhopal Bypass, along with a service road in Madhya Pradesh, utilizing the Hybrid Annuity Mode (HAM). The company is committed to completing the project within 24 months, with an operational period of 15 years post-construction. PNC Infratech had previously secured the position of the lowest bidder for a project in Madhya Pradesh in December.

In a strategic move, the company has finalized agreements with KKR-backed Highways Infrastructure Trust (HIT) to divest 12 road assets, including 11 National Highway (NH) Hybrid Annuity mode (HAM) assets and 1 State Highway BOT Toll asset, with a combined enterprise value of Rs 9,005.7 crore.

Notably, PNC Infratech’s share touched a 52-week high of Rs 420.85 on January 16, 2024, and a 52-week low of Rs 261.25 on March 27, 2023. The current trading price is approximately 1.88 percent below its 52-week high and significantly up by 58.07 percent from its 52-week low.