Multibagger stock hits 20% upper circuit on Rs 2,485 crore expressway deal with IRCON

Shares of Atlantaa Ltd rose 20 per cent in Wednesday’s trade after the infrastructure company announced it has entered into an agreement with IRCON International Ltd for the construction of an expressway project in Maharashtra.

In a regulatory filing, Atlantaa Ltd said it has signed a sub-contract agreement with IRCON for undertaking the construction of the Bhandara–Gadchiroli Access Controlled Expressway (Package BG-03) on EPC mode. The stretch covers 34.786 km, from Sarandi Bk in Bhandara district to Kinhi in Chandrapur district.

The total value of the sub-contract is Rs 2,485 crore plus applicable GST, according to the company’s disclosure.

Shares of Atlantaa hit the 19.99 per cent upper circuit at Rs 46.64 on the BSE, compared with the previous close of Rs 38.87. Trading volumes also spiked, with more than 1.18 lakh shares changing hands in the early session.

Atlantaa, a micro-cap stock, has emerged as a multibagger, delivering over 600 per cent returns in just five years. Its day RSI stood at 51.3, suggesting a mid-range momentum, while the day MFI at 62.6 also indicated balanced buying and selling pressure. Atlantaa trades well above both its 50-day of Rs 35.8 and 200-day of Rs 37.4) simple moving averages, Trendlyne data suggests.

The company clarified that the agreement has been signed in anticipation of IRCON receiving the final award from the Maharashtra State Road Development Corporation (MSRDC). "The Company will make further disclosures, as may be required, upon the award of the project to IRCON by MSRDC," Atlantaa said in its filing.