Olectra Greentech Limited has informed the exchange about the reduction in number of buses which have been awarded by TSRTC.
Awaiting price reaction for this filing.
Olectra Greentech has informed the exchanges that Telangana State Road Transport Corporation (TSRTC) has withdrawn 40 out of 50 electric buses awarded for inter-city operations under a contract with EVEY Trans Private Limited. The contract, executed through SPV EVEY Trans (TEL) Private Limited (in which Olectra holds 26%), originally involved procurement and maintenance of these buses by Olectra. While 10 buses were already delivered by May 2023, the order for the remaining 40 buses stands cancelled. The intra-city order for 500 buses remains unaffected. The company has stated there is no material adverse impact since it carries a large existing order book for electric buses.
This is a partial loss of 40 buses from a previously disclosed inter-city order, but management reassures investors that the impact is not material given Olectra's overall strong order book position. Short-term sentiment may be mildly negative due to order reduction disclosure, though no financial guidance was cut.