HCC share price: Stock under Rs 30 rallies 15%; over 2.07X spurt in volume! Reason - Tata connection?

HCC Share Price , stock under Rs 30 : In a major cheer for the shareholders, Hindustan Construction Company ’s stock on Friday zoomed 15 per cent to hit an intraday high of Rs 28.27 apiece on BSE. With this, the stock under 30 has climbed over 21 per cent in the last one week.

Listed on the BSE SmallCap index, the civil construction company’s market cap has now hit Rs 5001 crore after its shares rallied 15 per cent during intraday trade on Friday.

Shares of Hindustan Construction Company currently trade under Rs 30 apiece but have a 52-week high of Rs 57.46 and a low of Rs 21.98. On a year-to-date basis, however, HCC share price has declined 28.56 per cent, according to BSE analytics date. HCC is a leading infrastructure firm, having executed landmark projects that have defined the country’s progress since 1926.

The rally in the small cap stock came after Hindustan Contruction Company on Thursday evening informed about a big order win from Tata Power . HCC informed that it has been awarded a Rs 2,470 crore contract in a 50:50 joint venture with Tata Projects Limited. The order has been given by Tata Power.

As part of this contract, HCC-Tata Projects JV will construct Bhivpuri Off-Stream OpenLoop Pumped Storage Project (PSP) 1000 MW (2x333 MW + 2x167 MW) located at Karjat, Maharashtra.

The scope of work includes Civil and H&M components of the project i.e. Coffer Dam, Intake Structure including gates & screen at the existing upper reservoir of Thokerwadi, Head Race Tunnels, Penstock, Surge Shaft, Pressure Shaft, Powerhouse, Tail Race Tunnel, Lower Intake Structures including gate & screens, a new lower reservoir with GFRD Dam, adits, roads & drains, various BOP foundation and building structures.

Earlier this week on Monday, the company announced that its JV with Tata Projects has secured a Rs 2191 crore contract for construction of a 8.65 km long corridor including underground tunnels and stations for Madhya Pradesh Metro Rail Corporation Limited (MPMRCL).

HCC holds a 55 per cent share in the joint venture, amounting to Rs 1205 crore.