Shares of VA Tech Wabag Ltd. rallied 9%, reaching a day’s high of Rs 1,394 on 6th September, after the company secured an order worth Rs 2,700 crore from the Saudi Water Authority for a desalination plant.

The project is set to be completed within 30 months.

According to the company, Wabag’s strong track record and advanced technology were key to securing the order for the engineering, procurement, construction, and commissioning (EPCC) of a 300 MLD seawater reverse osmosis (SWRO) desalination plant in Yanbu, KSA.

The EPCC contract covers the design, engineering, supply, construction, and commissioning of a 300 MLD mega desalination plant to be developed on a greenfield site on the west coast of KSA, south of Yanbu al-Bahr, by the Red Sea.

The plant will apply state-of-the-art desalination technologies specially designed for when the need for high energy efficiency comes, thus consequently producing almost perfect water capable of fully meeting KSA’s eco norms.

Rohan Mittal, Head of Strategy and Business Growth, GCC, expressed pride in securing the major order from the Saudi Water Authority, highlighting its contribution to Saudi Vision 2030. He emphasized that the order reflects Wabag’s expertise in delivering sustainable water solutions and strengthens the company’s leadership in the global desalination sector.

VA Tech Wabag’s CFO, Skandaprasad Seetharaman, is expecting the company’s order book to reach Rs 16,000-17,000 crore by the end of the financial year, driven by orders from the Middle East, Africa, and India.

He emphasized that international projects usually provide higher margins and expressed his confidence in achieving the company’s medium-term revenue growth target of 15-20%, noting that growth typically accelerates in the second half of the year.

At 10:46 AM, the shares of VA Tech Wabag were trading 4.80% higher at Rs 1,349.80 on NSE.

Tired of missing hot stocks? Unicorn Signals provides powerful tools like stock scans and more help you make informed trading decisions. Download now and take control of your portfolio!