Shares of Olectra Greentech continued to rise, surging 15% to Rs 647.95 on the BSE in intraday trade on Thursday, in an otherwise weak market on the back of positive company announcements. In contrast, the S&P BSE Sensex was down 0.5% at 60,053 at 1:07 pm.

In the past three sessions, the company said Evey Trans Private Limited (EVEY) received two Letters of Award (LOAs) from Telangana State Road Transport Corporation (TSRTC) for 550 electric buses, including 500 buses Afterwards, the share price rose 24% for intra-city and 50 buses for intercity operations.

These supply orders for 500 electric buses and 50 electric buses will be based on a gross cost contract (GCC)/OPEX model with terms of 12 and 10 years (contract period), respectively. EVEY will source the buses from Olectra Greentech with a delivery period of 16 months.

Olectra Greentech, part of the Megha Engineering & Infrastructures (MEIL) Group, is a pioneer in manufacturing electric buses in India. It is also India’s largest silicone rubber/composite insulator manufacturer for transmission and distribution networks. EVEY is a wholly-owned subsidiary of Promoters (MEIL Holdings Limited).

Meanwhile, shares in Olectra Greentech have jumped 68% over the past 10 trading days after it partnered with Reliance Industries (RIL) to launch its first hydrogen-powered bus.

The 12-meter low-floor bus has a seating capacity of 32 to 49 passenger seats and a driver’s seat, the company said on February 23. A single hydrogen refill allows the bus to travel 400 km. Its commercial launch is expected within a year.

On March 1, Olectra announced that its stable of India’s first 6×4 heavy-duty electric dump truck had received India’s first certificate of approval from the Indian Motor Vehicle Regulatory Agency. The company said the electric tipper truck is now road-ready and complies with all central motor vehicle rules.

According to Olectra, public and private transport fleets are expected to adopt electric buses ahead of schedule as diesel prices continue to rise. Diesel costs account for 40% to 50% per kilometre. Therefore, an increase in diesel prices will have a massive impact on operations.

Over the past year, however, the stock has gained 2%, underperforming the broader market, while the benchmark index has gained 10%. It hit an all-time high of Rs 940 on December 16, 2021.