Ion Exchange Receives Rs.161 Crore Contract from Adani Power

Ion Exchange (India) Ltd has landed a major contract from Adani Power Ltd, valued at Rs.161.19 crore. This contract will have the water treatment and environment management company working on two 800 MW units at Adani’s Raipur and Raigarh Ultra Super Power Projects.

What’s the Contract About?

Ion Exchange will offer complete water and environmental management solutions for Adani Power’s units. All the Engineering, Procurement, and Construction (EPC) work will be handled by Ion Exchange. For these two power plants, water and utility supplies will be required, to be managed through these systems. As the company announced, the project will be completed in 18 months.

Big Wins for Ion Exchange

This is not the only major contract Ion Exchange has bagged this year. In April, the company won an international order worth Rs.250.65 crore for executing a desalination project in North Africa. The project includes the EPC of a desalinated water unit which will be delivered in seven months of engineering approval.

The company has secured another international contract worth Rs.168 crore for the Hail & Ghasha Development Project in UAE where they are offering advanced water treatment solutions, to be completed in 61 weeks.

How is the Stock Performing?

Ion Exchange shares are trading over 9% up, at  Rs.705 per share since it opened today. This aside, this stock has otherwise given around 20% returns so far this year and a climb of around 32% in the last 12 months. 

The company has a strong market cap, which stands at over Rs.9,400 crores. As of June 2024, its order book stands at Rs.3,394 crores. It has seen a 60% growth from the lowest Rs.407 per share in the last 52-week low level.

Conclusion: With this contract by Adani Power and a string of major international deals, Ion Exchange is strengthening its position in the water treatment and environment management sector.

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.