Gensol Engineering shares hit upper circuit after bagging EPC projects in Dubai

Shares of Gensol Engineering hit an upper circuit in Tuesday's trade after the company bagged an order for solar EPC projects in Dubai, United Arab Emirates (UAE). The company informed about the same through an exchange filing during the day.

"Gensol Engineering announced its two turnkey maiden international solar engineering, procurement, and construction (Solar EPC) projects with the Dubai Government Workshop Warehouse and the Dubai Police," the company said in an exchange filing on Tuesday.

Aggregating to a capacity of 14.08 MWp, these projects have a cumulative order value of Rs 101.6 crore, without taking taxes into account, the company added. "With these order wins, Gensol will gain access to a large market that is full of dynamism, vibrancy and an untapped potential for renewable energy solutions that deliver positive impacts on both Indian and UAE markets."

Following the announcement, shares of Gensol Engineering were locked in the upper circuit limit of 5 per cent to Rs 1747, commanding a total market capitalization of about Rs 2,135 crore. The scrip had settled at Rs 1,663.85 in its previous trading session on Monday.

Shares of Gensol Engineering have surged more than 75 per cent in the last two months, while the stock has gained a close to 120 per cent from its 52-week low. The stock is up about 30 per cent in the current calendar year so far.

The Dubai Government Workshop Warehouse project is slated for commissioning in November 2023, while the Dubai Police project is scheduled to go online in June 2024. Gensol had received an LoI from Odisha Renewable Energy Development Agency (OREDA) to provide 300 electric vehicles with fleet management service on an operating lease for five years earlier this month.

Founded in 2012, Gensol Engineering is a part of the Gensol group of companies, which offers engineering, procurement, and construction (EPC) services for the development of solar power plants. The company reported a net profit at Rs 12.43 crore with a revenue from operations at Rs 146.63 crore in the quarter ended on June 30, 2023.

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