Welspun Enterprises Ltd updates on claim from GSRDC

Welspun Enterprises Limited had a claim on Gujarat State Road Development Corporation Limited ("GSRDC") of Rs. 40,53,97,423/- (principal amount) & Rs. 13,92,70,298/- (towards interest) in the year 2016 against the project "Widening to six lane of Bharuch - Dahej Road (SH - 6) Km 200/0 to 225/0 (Section - I) on the item rate basis". The parties were in dispute in the Arbitral Tribunal forum at Ahmedabad.

The parties agreed to settle the matter through Conciliation Committee of Independent Expert ("CCIE") formulated by GSRDC. The matter has been sorted out amicably on the following terms:

a) GSRDC shall pay to the Company Rs. 24,96,93,380/- (principal amount) and interest of Rs. 12,61,73,827/- towards full and final settlement of all its claims & dispute within 30 days of signing of agreement. The agreement is signed on March 27, 2023.

b) Post this settlement all disputes have been settled and the Company shall withdraw its application pending with Arbitral Tribunal, Ahmedabad.

The Company expects to get ~Rs. 37.58 Crore within next 30 days.

Shares of Welspun Enterprises Limited was last trading in BSE at Rs. 123.10 as compared to the previous close of Rs. 125.40. The total number of shares traded during the day was 15747 in over 474 trades.

The stock hit an intraday high of Rs. 125.35 and intraday low of 122.40. The net turnover during the day was Rs. 1948077.00.

Source : Equity Bulls

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WelspunEnterprisesLimited INE625G01013 532553 WELENT ConstructionandEngineering