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Dynacons Systems and Solutions bags order from BSNL; stock rallies over 12%

15 February 20244 mins read by Angel One
The company's shares have provided a remarkable return of around 1,170% to its shareholders in the past three years.
Dynacons Systems and Solutions bags order from BSNL; stock rallies over 12%
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Dynacons Systems and Solutions undertakes all activities related to IT infrastructure, including infrastructure design and consulting services, turnkey systems integration, and the setup of large Network and Data Centre infrastructures, including the supply of associated equipment and software. The company boasts a large pool of technical resources present at over 250 locations across India. It offers various service models such as IaaS (Infrastructure as a Service), PaaS (Platform as a Service), and SaaS (Software as a Service).

The company has made a significant announcement regarding an order received by the company.

Order Details

As detailed in the official report, the company has secured a substantial contract valued at Rs 90.02 crores from Bharat Sanchar Nigam Limited (BSNL). The contract entails the provision of an Integrated Telecom Network and IT solution for one of BSNL’s key customers. This holistic solution encompasses the establishment of a Command Centre and Network Operations Center (NOC), aiming to bolster BSNL’s service capabilities and better cater to its clientele.

Key features of the Integrated Network and IT Solution include:

Command Centre: A centralised hub equipped with advanced monitoring and control systems, enabling BSNL to efficiently manage and coordinate various aspects of its network operations for its customers. The Command Centre will provide real-time insights into network performance, security, and overall operational health.

Network Operations Center (NOC): An advanced facility designed to monitor, analyse, and respond to network issues promptly. The NOC will serve as the nerve centre for the network operations, ensuring proactive identification and resolution of potential challenges.

Enhanced Customer Experience: The solution will contribute to improved customer satisfaction by minimising downtime, optimising network performance, and enabling faster fault resolution.

The project encompasses the establishment, implementation, and management of the MPLS Command Centre (MCC) /Network Operation Centre (NOC) at the customer’s premises. This includes the provision of support for 99.5% uptime, along with the deployment of technical resources and manpower to operate the NOC and Help Desk as managed services for 5 years.

According to the contract terms, Dynacons will utilise its advanced technology expertise to design, implement, and manage state-of-the-art network infrastructure. The solution aims to optimize network performance, improve reliability, and enhance the overall customer experience. The proposed Secure Edge solution will facilitate the customer’s network transformation, transitioning from the current architecture to a modern, centralised, self-healing structure that ensures seamless connectivity, security, and comprehensive visibility into the network.

Share Performance

Following the announcement, the company’s shares rallied around 13% today, at the start of the day it commenced trading at Rs 725.80 per share, higher compared to Friday’s closing figure of Rs 720.05 per share. Currently, it is trading at Rs 789.20 each on the BSE.

The market capitalisation of the company stands at Rs 1001.74 crore. Additionally, the stock has delivered an impressive return of 69% in the past year and an impressive multibagger return of around 1170% in the past three years.

In terms of ownership, the Promoter holds 61.10%, while the remaining 38.90% is held by public investors, as per the most recent update.

Investors should keep this stock on their radar.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.

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