Vascon Engineers shares hit upper circuit on MoU with Adani, check details

Shares of Vascon Engineers rose 20% on Monday after the firm said it has inked a MoU with Adani Infra to work with Adani on selected earmarked projects right from the design stage, thereby ensuring seamless integration of design and execution. 

Vascon Engineers stock surged 20% to hit a 52-week high of Rs 69.46 on BSE today. Market cap of the firm rose to Rs 1571.79 crore. 

"Vascon Engineers Limited (“Vascon”) has entered into a Memorandum of Understanding (MoU) with Adani Infra (India) Limited (“Adani”) today to collaborate as their Execution Partner under an Early Engagement Model for Five Years. Under this arrangement, Vascon will be associated with Adani on selected earmarked projects right from the design stage, thereby ensuring seamless integration of design and execution. At present, three projects totaling approximately 13.15 million sq. ft. have already been identified under this model at Mumbai," said the firm in a communication to bourses. 

"As part of the current objectives, Vascon aims to engage with Adani Group on projects contributing additionally equivalent to 30% of Vascon’s annual turnover. This collaboration is envisioned as a long-term strategic partnership with the scope and performance of the arrangement to be reviewed annually," added the realty and infra firm. 

Vascon Engineers is engaged in the business of Engineering, Procurement and Construction services (EPC) and Real Estate Development.