Intimation regarding Work Order(sub Contract). A copy of LOA( Letter of Acceptance) of award is enclosed. The same is for your perusal and record.
Awaiting price reaction for this filing.
ARSS Infrastructure Projects, currently under Corporate Insolvency Resolution Process (CIRP), has received six sub-contract work orders from Shivam Condev Private Limited worth a combined Rs. 164.51 crore. The work involves road widening, strengthening, and bypass construction across districts in Odisha (Koraput, Kandhamal, and Boudh), with one project being a bypass on NH-57 on EPC mode. Completion periods range from 16 to 24 months. The contracts are on a back-to-back basis with a 5% commission payable to Shivam Condev as the main contractor. Notably, one contract (Daspalla bypass) is subject to approval from the Principal Employer.
This is a positive development for shareholders as it shows the company is securing new business despite being under insolvency proceedings, supporting revenue continuity. However, the back-to-back sub-contract structure with a thin margin (5% commission to main contractor) and dependency on principal employer approval for key orders introduce execution risk. Investors should watch for resolution plan progress and order conversion to actual revenue.