RITES Limited has informed the Exchange about Intimation of Major Order Secured from Department of Collegiate and Technical Education (DCTE) Office of the Commissioner, Unnatha Shikshna Soudha, Seshadri Road Bengaluru.
RITES · price
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Awaiting price reaction for this filing.
RITES Limited has secured a Rs. 46.82 Crore (excluding GST) order from the Department of Collegiate and Technical Education (DCTE), Government of Karnataka. The order involves construction and renovation of Government First Grade Colleges at various locations in Karnataka under the PM USHA Scheme. Notably, the contract has been converted from a Project Management Consultancy (PMC) basis to a turnkey contract, meaning RITES will now earn fees on top of the full project cost, increasing the scope and revenue potential. The work is to be completed over 36 months from the date of agreement. This is a domestic order with no related party involvement.
Marginally positive for RITES — the order adds to the order book and the upgrade from PMC to turnkey basis improves RITES' revenue and margin profile. However, the order size is modest relative to RITES' overall scale and is unlikely to materially move the stock.