Small-cap stock Ceigall India jumped more than 4% in morning deals on the BSE on Friday, 4 September, after the company announced it had received a letter of intent (LoI) of ₹5,300 crore from REC Power Development and Consultancy Limited.
Ceigall India share price opened at ₹363.60 on the BSE against its previous close of ₹348.45 and jumped 4.3% to an intraday high of ₹363.60, looking set to extend gains for the second consecutive session.
Ceigall India news
In an exchange filing on 3 September, Ceigall India said it had received an LoI from REC Power Development and Consultancy for the development of a major common transmission system in Gujarat, worth approximately ₹5,300 crore.
According to the exchange filing, the LoI has been awarded for the “common transmission system for evacuation of power from Lakadia (Phase-II: 7.5 GW), Jam Khambhaliya (Phase-II: 5.5 GW), and Jamnagar (Phase-I: 1 GW) – Part-B” project. The project entails the development of a 765/400 kV air-insulated substation (AIS) along with approximately 300 km of transmission lines.
The company said it will receive annual transmission charges of ₹608.67 crore each year over the 35-year operational period. Execution is expected to take 36 months, followed by a 35-year operational period.
Ceigall India share price trend
has jumped 30% year-to-date compared to a 10% fall in the Sensex and a 12% rise in the BSE Industrials index.
The hit a 52-week high of ₹405 on 30 June this year, after hitting a 52-week low of ₹223 on 9 December.
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