Posted on March 21, 2025, by Niftynews
HCC shares soar by 13% on March 21, 2025, following the announcement of a major contract win. Hindustan Construction Company (HCC), in partnership with Tata Projects Limited (TPL), has secured a Rs 2,470 crore order from Tata Power Company. This win is significant for the company as it marks HCC’s second major contract win in a week, further bolstering investor confidence in its long-term growth prospects.
At 12:26 pm, shares of Hindustan Construction Company were trading at Rs 27.43, up 11.59% from the previous session. The latest contract is for the Bhivpuri Off-Stream Open-Loop Pumped Storage Project (PSP), located in Karjat, Maharashtra. The project, with a capacity of 1,000 MW, includes the construction of various critical infrastructure components such as tunnels, reservoirs, and powerhouses, further strengthening HCC’s position in the Indian infrastructure sector.
HCC and Tata Projects JV Secures Major Hydro-Mechanical Project
The joint venture between HCC and Tata Projects has been awarded the contract for the Bhivpuri PSP project, which involves extensive civil and hydro-mechanical work. The scope of the project includes the construction of a coffer dam, intake structures, surge shafts, penstocks, and a powerhouse. Additionally, it will require the development of a new reservoir with a GFRD dam and construction of access roads, drainage systems, and balance-of-plant foundations.
This project win follows the joint venture’s earlier success in securing a Rs 2,191 crore deal for the Madhya Pradesh Metro Rail Corporation Limited (MPMRCL). The metro project, which involves underground tunnels and station construction, underscores the joint venture’s ability to deliver large-scale infrastructure projects in multiple sectors.
Positive Market Reaction to HCC’s Order Wins
The market has responded positively to these developments, with HCC shares surging by 13% in early trading on March 21. Investors are enthusiastic about the company’s ability to win multiple high-value contracts in such a short time span. This has significantly boosted investor confidence in HCC’s future prospects, as the company is positioned to benefit from the growing demand for infrastructure development in India.
Both the Bhivpuri PSP and Madhya Pradesh Metro projects are expected to contribute significantly to HCC’s revenue in the coming years, adding stability to its earnings and improving its growth outlook. With a strong project pipeline and ongoing expansion into the power and transport sectors, HCC appears well-placed for sustained growth in the Indian infrastructure market.
HCC’s Growing Presence in India’s Infrastructure Sector
HCC’s joint venture with Tata Projects continues to secure key contracts, further solidifying the company’s position in the construction sector. The company’s expanding footprint in large-scale infrastructure projects, such as hydro-mechanical works and metro rail development, enhances its reputation as a leading player in India’s infrastructure development.
The Bhivpuri PSP project, with its focus on energy and power generation, marks an important step for HCC in the energy sector. The company is expected to play a critical role in India’s push towards renewable energy and sustainable infrastructure. Similarly, the metro projects, like the one in Madhya Pradesh, cater to the growing need for urban transportation infrastructure, further diversifying HCC’s portfolio.
Conclusion: HCC Shares Surge Amid Strong Project Wins
In conclusion, HCC shares soar by 13% after the company, in partnership with Tata Projects, secures a Rs 2,470 crore order for the Bhivpuri Off-Stream Open-Loop Pumped Storage Project (PSP). This contract, along with the earlier Madhya Pradesh Metro project, highlights HCC’s strong position in the infrastructure sector and its ability to win large-scale projects across various sectors.
As the company continues to secure significant orders and expand its presence in critical sectors like power, transportation, and energy, HCC is poised for long-term growth. With strong investor confidence and a diversified project portfolio, the company’s stock performance is likely to remain robust, making it an attractive option for investors in the infrastructure and construction space.
