Welspun Enterprises Arm Secures ₹291 Crore BMC Contract for Water Pumping Station

Infrastructure developer Welspun Enterprises Ltd announced on Wednesday that its material subsidiary, Welspun Michigan Engineers Ltd (WMEL) – formerly known as Michigan Engineers Private Ltd – has been awarded a significant work order by the Brihanmumbai Municipal Corporation (BMC).

Contact Details

According to a regulatory filing by Welspun Enterprises, the contract awarded to WMEL is valued at ₹290.88 crore, inclusive of Goods and Services Tax (GST) and a seven-year operations and maintenance (O&M) agreement. The contract covers the engineering, procurement, and construction (EPC) of the Mogra Storm Water Pumping Station in Mumbai, Maharashtra.

Project Scope and Timeline

The awarded contract includes the EPC work for the Mogra Storm Water Pumping Station, followed by seven years of O&M services. The project is scheduled to be completed within 20 months, excluding the monsoon period. The work will commence after obtaining the necessary statutory clearances from the Ministry of Environment and Forests, Mangrove Cell, and the high court.

Welspun Michigan Engineers’ Expanding Order Book

As of January 31, 2025, the outstanding order book of Welspun Michigan Engineers stood at ₹2,546 crore. This figure includes the Dharavi to Ghatkopar Tunnelling order (DGT Project), worth ₹1,150 crore, from Welspun Enterprises.

With the addition of the Mogra Storm Water Pumping Station contract, WMEL’s total outstanding order book will now reach ₹2,791.76 crore (excluding GST). The order book includes ₹124.75 crore allocated for O&M services.

Company’s Perspective

Commenting on the development, Sandeep Garg, Managing Director of Welspun Enterprises, said, “This is the largest independent project undertaken by Welspun Michigan Engineers Ltd in the pumping station segment. This achievement reflects the continued growth and success of WMEL, reinforcing our expertise in urban infrastructure development.”

Stock Performance

On February 05, 2025, Welspun Enterprises share price ended down 1.50% at ₹575.75. Welspun Enterprises’s share price reached a 52-week high of ₹664.10 on January 08, 2025, and a 52-week low of ₹270.05 on March 14, 2024. As per BSE, the total traded volume for the stock stood at 0.68 lakh shares with a turnover of ₹3.87 crore.

At the current price, Welspun Enterprises shares are trading at a price-to-earnings (P/E) ratio of 27.75x, based on its trailing 12-month earnings per share (EPS) of ₹20.75, and a price-to-book (P/B) ratio of 3.15, according to exchange data.

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