Skipper Ltd wins New order of Rs 2,570 crores for BSNL 4G Telecom Projects

Skipper Limited (BSE: 538562) and NSE (Symbol: SKIPPER), one of the world's leading manufacturers for Power Transmission & Distribution structures and a prominent manufacturer of Telecom and Railway structures has announced that it has secured fresh new order valuing Rs 2,570 Crores from Bharat Sanchar Nigam Ltd. (BSNL).

New Order Details

- The contract has been awarded by BSNL for Supply and erection of Ground Based Telecom Towers, Infrastructure as a Service Provider (IaaSP) for supply, installation of Infrastructure Items and subsequent O&M for 5 years extendable to 5 more years in the uncovered villages of India under 4G saturation projects.

- The total contract value awarded to Skipper under these projects is approx. 2,570 crores to be executed under capex and opex model over 5 years. The works are to be executed in the states of Rajasthan (1,350 Crores) and Orissa (1,220 Crores) and includes development of approx. 3,350 tower location sites.

- The telecom sites will be set up to provide 4G connectivity as part of the 4G saturation projects in still uncovered with any sort of mobile communication or are currently having only 2G/ 3G Connectivity.

- The Project will be executed using the homegrown 4G Stack and will be funded through Government of India USOF (Universal Service Obligation Fund), which is a 55,000 Crores strong cash reserves meant for providing connectivity in rural and remote areas.

Commenting on the release Mr. Sajan Kumar Bansal, Managing Director Skipper Limited said "We are glad that we are playing a crucial role and contributing our bit towards India's infrastructure development and proud to be part of government vision to provide mobile connectivity in rural areas. The project will promote the delivery of various egovernance services, banking services, telemedicine, tele education etc through mobile broadband and promote employment in rural areas."

"Our Company is the largest manufacturer of Telecom Tower in India, Backed by our forte in executing projects for the Telecom sector; this is another significant win for us. Our large engineering capacity to support captive manufacturing of telecom structures and decades of experience in building Tower sites on turnkey basis will vastly complement the execution of this prestigious project and will establish our company as a front runner in this domain."

He further added "Going forward, the marketplace looks exciting and ripe with opportunities and the company has a positive outlook based on strong traction in domestic telecom on account of future 5G Rollout and a vibrant domestic & International T&D industry fuelled by a surge in renewables generation; As the global focus on renewables energy continues to grow, many countries will require new transmission lines to be built to cater to a new green energy network.

"We are well positioned to capture these opportunities and deliver continuous growth and value creation. A strong Engineering order book and strong tender pipeline in excess of Rs 10,000 Crores along with rebound in the Polymer market segment give us good visibility and confidence of achieving the desired growth and deliver up to your expectations."

Shares of Skipper Limited was last trading in BSE at Rs. 126.35 as compared to the previous close of Rs. 139.95. The total number of shares traded during the day was 221598 in over 4022 trades.

The stock hit an intraday high of Rs. 148.85 and intraday low of 126.00. The net turnover during the day was Rs. 30464864.00.

Source : Equity Bulls

Keywords

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