NBCC Bags ₹500 Crore BIS Contract, Adding to Growing List of High-Value Projects

NBCC (India) recently secured a significant construction contract valued at ₹500 crore from the Bureau of Indian Standards (BIS). As part of the contract, NBCC will undertake the construction of multiple buildings across several cities, including BIS’s headquarters in New Delhi.  The project also encompasses other major facilities such as the central laboratory in Sahibabad, the National Institute of Training for Standardisation in Noida, the Northern Regional Laboratory in Mohali, and the Bangalore Branch Laboratory in Bengaluru. 

This order follows another recently awarded project through NBCC's subsidiary, Hindustan Steelworks Construction Ltd (HSCL). Just a day prior, HSCL announced that it had been awarded a work order valued at ₹65 crore in Bengaluru. The subsidiary will carry out development work on a commercial plot owned by Bank of Baroda at Financial City, located within the Bengaluru Hardware Park. 

This project is set to be completed on a deposit work basis, as mentioned in NBCC’s exchange filing. Together, these contracts point to the increasing traction that NBCC and its subsidiaries are gaining in both public and commercial projects, positioning the company as a key player in India’s construction and development sector.

In recent months, NBCC has been consistently winning new orders and expanding its project portfolio. Just last week, the company was awarded contracts totaling ₹235.46 crore, diversifying its engagement across various sectors. These include an order worth ₹186.46 crore from Power Grid Corporation of India Ltd. This contract, centered on the renovation of Power Grid’s corporate office building in Gurugram, signifies NBCC’s capabilities in handling large-scale corporate refurbishment projects. 

The company has shown consistent expertise in undertaking renovation and construction projects for large public sector entities, reinforcing its credibility and reliability in the industry. NBCC also secured an order worth ₹44 crore from Mahatma Gandhi Kashi Vidyapith University in Varanasi for the construction of a multipurpose examination hall cum innovation center, a project that will enhance the educational infrastructure of the university.

NBCC’s continued success in winning diverse contracts reflects its robust operational strategies and its growing reputation within India’s infrastructure landscape. The company has effectively positioned itself to take on a variety of projects, ranging from corporate offices to educational facilities and laboratory construction.

The impact of these contract wins on NBCC's market performance has been notable. The company’s stock, while trading 2.05% lower at ₹95.8 apiece as on November 5, has shown significant gains this year. So far in 2024, NBCC’s stock has surged by 75.48%, reflecting investor confidence in its growth trajectory and project execution capabilities. Despite a temporary dip in share price, the overall performance has been bullish, driven by the strong order book and steady influx of new projects. Investors are watching NBCC closely as its growing order book signals a potentially profitable year-end for the company.

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