Cable company emerges as the lowest bidder (L1) for an order worth Rs 5649,36,07,537.66 from Bharat Sanchar Nigam Ltd
This project aims to expand broadband internet access across rural areas.
Polycab India Limited has achieved a remarkable feat by securing not one, but two significant contracts from Bharat Sanchar Nigam Limited (BSNL) for the development of India's BharatNet initiative. This project aims to expand broadband internet access across rural areas.
The first contract, valued at 1549,66,31,902.36, focuses on Bihar. Polycab will be responsible for the "Design, Build, Operate, and Maintain" (DBOM) of the middle mile network within the state. This includes creating a new network infrastructure, upgrading existing systems, and ensuring its smooth operation and maintenance for a period of 10 years following the 3-year construction phase.
Polycab's success doesn't stop there. They also emerged as the lowest bidder for a separate BSNL contract worth 4099,69,75,635.30. This project encompasses the development, upgradation, operation, and maintenance of the middle mile network for BharatNet in Karnataka, Goa, and Puducherry. Similar to the Bihar contract, the project structure involves a 3-year construction period followed by a 10-year maintenance phase with escalating fees.
These substantial wins solidify Polycab's position as a major contributor to India's digital infrastructure development. By participating in the BharatNet project, Polycab plays a crucial role in bridging the digital divide between urban and rural areas, ultimately fostering economic growth across the nation.
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On Thursday, shares of Polycab India Limited plunged 1.02 per cent to Rs 6,815.15 per share from its previous closing of Rs 6,885.30 per share with an intraday high of Rs 6,998.95 and an intraday low of Rs 6,800. The stock’s 52-week high is Rs 7,607.15 and its 52-week low is Rs 3,812.35. The company has a market cap over Rs 1 lakh crore.
Polycab India Ltd. is a prominent player in India's electrical industry, renowned for its wide range of high-quality cables, wires, and allied products. The company has been a trusted name for decades, catering to both retail and industrial consumers. In recent years, Polycab has expanded its product portfolio to include consumer electrical products like fans, switches, LED lights and solar inverters, further solidifying its position in the market.
Polycab has demonstrated a consistent track record of growth and profitability. The company's strategic focus on innovation, quality, and customer satisfaction has enabled it to maintain a strong market position. With its ambitious "Project Leap," Polycab aims to achieve a significant revenue milestone of Rs 20,000 crore by FY26. The company has a dividend pay-out of 24 per cent. Investors should keep an eye on this cable stock.
Disclaimer: The article is for informational purposes only and not investment advice.