Sterlite Technologies surges as its arm bags sixth UMTP project

Sterlite Technologies is currently trading at Rs. 40.00, up by 1.35 points or 3.49% from its previous closing of Rs. 38.65 on the BSE. The scrip opened at Rs. 39.60 and has touched a high and low of Rs. 40.40 and Rs. 39.50 respectively. So far 79,000 shares were traded on the counter. The BSE group 'B' stock of face value Rs. 2 has touched a 52 week high of Rs. 43.25 on 26-May-2014 and a 52 week low of Rs. 15.75 on 06-Aug-2013. Last one week high and low of the scrip stood at Rs. 43.25 and Rs. 36.10 respectively. The current market cap of the company is Rs. 1,581.00 crore. The promoters holding in the company stood at 54.67% while Institutions and Non-Institutions held 9.75% and 35.58% respectively. Sterlite Technologies’ wholly owned subsidiary - Sterlite Grid (SGL), has been awarded its sixth ultra-mega transmission project (UMTP) on build-own-operate basis by the Ministry of Power, Government of India. This Northern Region Strengthening Scheme project (NRSS 29) is a part of the National Grid and is designed to carry over 1000 MWs of electricity from Punjab to the Kashmir Valley. The NRSS 29 project was conceived by the Central Electricity Authority to provide a direct link between Punjab and the valley region. A new route was specifically chosen to ensure the line has minimum outages. Post-construction, Sterlite Grid will be responsible to ensure that the link is active for 98% of the year. The project consists of one substation and 800 circuit kilometers of 400kV lines in the states of Punjab and J&K. Sterlite Grid has quoted an annual tariff of approximately Rs 440 crores per year, which is 5% lower than the next highest bid. This will be Sterlite Grid’s largest project in terms of revenues and scale.