Chennai-based Wabag shares close 4% higher on getting Rs 4,400 crore project order

Shares of Chennai-headquartered multinational company VA Tech Wabag gained around 6 per cent in the early trade today, 31 March after the company received an order worth Rs 4,400 crore, it announced on Friday. The project is being funded by Japan International Cooperation Agency (JICA).

However, the company's shares closed 4.25 per cent higher or 14.30 points at Rs 350.85 each on BSE today in a strong Mumbai market. 

Wabag & its JV partner get order worth Rs 4,400 crore

Wabag alongwith its joint venture (JV) partner Metito Overseas Ltd has secured a design, build, operate (DBO) seawater reverse osmosis project from Chennai Metropolitan Water Supply and Sewerage Board today. This is the largest ever order for the company.

This DBO order includes designing, engineering, procurement, construction, installation, testing and commissioning of the 400 MLD SWRO Desalination plant and the associated sea water intake system over a period of 42 months followed by 20 years of operation & maintenance (O&M).

The desalination process will include lamella clarifiers, dissolved air flotation system, and gravity dual media filters followed by reverse osmosis and re-mineralisation to produce clean drinking water which will be further distributed by CMWSSB (Chennai Metropolitan Water Supply and Sewerage Board) to the residents of South Chennai.

"This landmark order coincides with Wabag being ranked 3rd globally among private water operators and among the top 10 desalination players globally by GWI. The project when completed will not only be a landmark project for Wabag, but a testament to Tamilnadu’s commitment to building water security for Chennai and the state, making it a model for the whole country," said Shailesh Kumar, CEO – of India Cluster.

This project will be historically significant for Chennai and India because it will be the largest desalination plant in the South East Asian region when it is completed.