VA Tech gets going

VA Tech Wabag is doing good today and this is thanks to its ‘repeat order’ announcement made last night.

A leading pure-play water technology, the company secured a repeat order of about $ 49 Million from Kathmandu Upatyaka Khanepani, funded by Asian Development Bank (ADB).

The order entails Design, Build, Operate (‘DBO’), towards three Waste Water Treatment Plants (WWTP) in Nepal at Sallaghari, Kodku and Dhobighat to treat about 69 MLD of Waste Water.

It is expected to be completed over a period of 24 months, followed by a 5-year operation and maintenance (O&M).

These plants when complete, will reduce ingression of untreated Waste Water into the Bagmati, Manohara and Hanumante rivers, thereby restoring the water quality and improving the whole eco-system. As part of this project, Green Fuel (Biogas) will be generated through Activated Sludge Treatment, producing Green Energy which will be captively used in operation of the WWTPs, thereby reducing Green House Gas (GHG) emissions and optimising the cost of operations.

The market is happy with this development as evident from the stock price; the stock opened 1.2% higher at Rs.914.95 and rose to an intraday high at Rs.946.40, rising over 4.5%. Its 52-week high is at Rs.1030.