Intraday spotlight: Welspun Corp hits 20 per cent upper circuit with a single largest order win in its history

Company is a leading gainer in the A group

Welspun Corp Ltd, engaged in manufacturing steel pipes, has jumped by over 20 per cent to hit the upper circuit and create a fresh 52-week high, from its previous close of Rs 208.75. The stock opened at Rs 09.60 and has made its day high of Rs 250.50, where the trading in stock is halted and which is also its fresh 52-week high. It was today’s top gainer from the A group.    

The sharp bull rally has come on the back of the single largest order win amounting to Rs 5,000 crore plus. According to its press release, this order is for the supply of 325,000 MT (approx) of large diameter coated pipes for transporting natural gas from the Permian Basin to Houston, US. The pipes for this order will be produced from its Little Rock plant in the US and the same will be executed over 12 months, commencing H2 of FY 23.  

This order is the largest ever in the company’s history. For a company with a market cap of about Rs 6,500 crore, this order is huge. With this significant win, the company’s order book, excluding Saudi region, stands at 704,000 MT valued at Rs.10,500 crore (approx).     

Welspun Corp Limited, the flagship company of Welspun Group, is among the largest welded line pipe manufacturing companies in the world. The stock has a 52-week high and low of Rs 250.5 and Rs 106, respectively.