Dilip Buildcon emerges lowest bidder for Rs 901-crore NBCC project; stock climbs 3%

Dilip Buildcon Ltd has been declared the lowest bidder (L1) for a Rs 901.43 crore project floated by NBCC (India) Ltd for the development of a satellite township in Srinagar, Jammu and Kashmir. The project involves the construction of a group housing complex along with allied infrastructure works on an engineering, procurement and construction (EPC) basis.

The project, titled Development of Satellite Township Phase-I, Package-3 (Group Housing 02), will be undertaken at Rakh Gund Aksha, Bemina, Srinagar. The contract includes design, engineering, procurement and construction activities, followed by a two-year operation and maintenance (O&M) period. The project cost of Rs 901.43 crore includes GST.

Dilip Buildcon shares touched a high of Rs 413.30 on Wednesday, gaining 2.90% from their previous close of Rs 401.65. The stock opened at Rs 401.90 and touched a low of Rs 400.60 during the session.

Details of the Rs 901 crore NBCC project

According to the company's exchange filing dated November 11, NBCC (India) Ltd is the domestic entity that floated the tender. Dilip Buildcon has been declared L1 bidder for the general contract, with the construction work scheduled to be completed within 24 months, followed by two years of maintenance.

The project will involve developing group housing facilities and associated works as part of the proposed satellite township. The contract is expected to cover the complete execution cycle, from design and engineering to procurement, construction and subsequent maintenance.

In its regulatory filing, the company said it had been declared L1 bidder for the tender floated by NBCC on an EPC basis in Jammu and Kashmir. It also clarified that the promoter group has no interest in the entity awarding the contract and that the project does not fall under related-party transactions.