Rs 14,000+ Crore Order Book: Solar Stock Hit Upper Circuit After Bagging Rs 9,000 Crore Order from Government of Andhra Pradesh – Energy Department
The stock is up over 30 per cent from its 52-week low of Rs 310.05 per share.
On Friday, shares of Bondada Engineering Ltd hit a 10 per cent upper circuit to Rs 425.05 per share from its previous closing of Rs 386.45 per share with a 2.19 times spurt in volume on the BSE. The stock’s 52-week high is Rs 753.98 per share and its 52-week low of Rs 326 per share.
Bondada Engineering Limited has received a significant Government Order (GO) from the Government of Andhra Pradesh – Energy Department, allocating 2000 MW AC / 2600 MWp DC solar power capacity. This landmark project will be spread across various locations in the Ananthapuramu and Sri Sathya Sai districts. The company's detailed proposals for establishing these solar power projects were approved during the State Investment Promotion Board (SIPB) meeting on May 15, 2025. This allocation, subject to no overlap with existing renewable energy projects, is to be implemented within 24 months in accordance with the Andhra Pradesh Integrated Clean Energy Policy – 2024. This substantial order of Rs 9,000 crores is set to significantly boost Bondada Engineering's order book to over Rs 14,000 crores.
The project, which will be executed through Bondada Renewable Energy Pvt. Ltd., a wholly-owned subsidiary, aligns with India’s Net-Zero Goals and is poised to generate an estimated 3,900 jobs in Andhra Pradesh. The approved investment of Rs 9,000 crores in renewable energy will benefit from government support, including land leases for up to 30 years at Rs 31,000 per acre per year with a 5 per cent biennial escalation. Additionally, the project will receive support for power evacuation and has the option to sell power outside Andhra Pradesh, with the state government retaining a first right of refusal up to 30 per cent of capacity. Bondada Engineering expects to add a substantial revenue of Rs 1,160 crores from Independent Power Producer (IPP) operations annually from FY 2029 onwards, with significant IPP implementation planned for FY 2026, FY 2027, and FY 2028.
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About the Company
Incorporated in 2012, Bondada Engineering Limited delivers comprehensive engineering, procurement, and construction (EPC) and operations and maintenance (O&M) services primarily for the telecom and solar energy sectors, boasting partnerships with major telecom companies like Reliance Jio and Airtel, having successfully installed over 12,500 telecom towers and a 4,300 km OFC network; the company's manufacturing capabilities extend to telecom and transmission towers, solar MMS, and building materials under brands like Smartfix, alongside lifestyle products such as uPVC and aluminium doors and windows, and they further provide extensive O&M services for both telecom infrastructure and solar power plants, managing a solar O&M portfolio of 20 MW.
The company has a market cap of over Rs 4,000 crore and the order book as of March 31, 2025, stands at Rs 5,044 crore. Including the above orders, the company's order book crosses Rs 14,000 crore. The stock is up over 30 per cent from its 52-week low of Rs 310.05 per share. The company's shares have an ROE of 69 per cent and an ROCE of 78 per cent.
Disclaimer: The article is for informational purposes only and not investment advice.