Indian Hume Pipe up 5%

Indian Hume Pipe is in the limelight today, rising over 5% to hit an intraday high at Rs.194. Its 52-week high is at Rs.272 and low at Rs.101.

The stock is up after the company today reported that it has received an order from State Water & Sanitation Mission, Namami Gange & Rural Water Supply Department (SWSM), Lucknow.

This scheme is for providing water supply schemes in 550 villages of Kanpur Division in Uttar Pradesh at an approximate value of Rs. 550 crore.

This contract value is to be finalized and awarded after submission of Detailed Project Report (DPR) by the company and approved by the State Government. Further the submission of DPR will be in tranches and need to be submitted within 180 days from the date of receipt of list of villages by the Company from SWSM. Thereafter Letter of Acceptance will be issued for each scheme and multipartite agreement will be signed.

However, minimum work to the tune of Rs. 400 crore is guaranteed as per Tender condition.

The project is to be completed within 21 months from the date of signing of multipartite agreements.

The Operation & Maintenance period is 10 years after completion of project.