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NBCC gains after winning contract from AIIMS

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Last Updated : Nov 25 2015 | 12:02 AM IST

National Buildings Construction Corporation rose 5.71% to Rs 991.05 at 15:20 IST on BSE after the company said that it has received a contract from All India Institute of Medical Sciences.

The company made announcement during market hours today, 24 November 2015.

Meanwhile, the BSE Sensex was down 49.36 points, or 0.19%, to 25,769.98.

Huge volumes were witnessed on the counter. On BSE, so far 1.9 lakh shares were traded in the counter, compared with an average volume of 63,636 shares in the past one quarter.

The stock hit a high of Rs 1,015.50 and a low of Rs 934.80 so far during the day. The stock hit a record high of Rs 1,214.50 on 6 August 2015. The stock hit a 52-week low of Rs 682.60 on 9 February 2015.

National Buildings Construction Corporation (NBCC) said that All India Institute of Medical Sciences (AIIMS) has issued letter of award dated yesterday, 23 November 2015 to NBCC for the re-development of AIIMS Western Campus & Ayurvigyan Nagar, New Delhi involving construction of 3000 flats in 2.5 years time with the financial implication of Rs 5828 crore. The revenue generation for commercial viability of the project would be met by selling 10% of area.

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NBCC would be charging 10% of the final project cost as project management consultancy (PMC) fee and 1% for the marketing expenses on total fund realization from the sale/lease of built up area.

This proposal has been duly recommended in principle by the Standing Finance Committee of AIIMS in its 209th meeting. The memorandum of understanding (MOU) with NBCC will be signed after the project approval by the Union Cabinet.

The letter of award dated 23 November 2015 will enable NBCC to take-up the proposal for further perusal and expedite the formulation of Cabinet note in this regard.

NBCC is a blue-chip Government of India (GoI) Navratna Enterprise under the Ministry of Urban Development, in construction sector. The GoI held 90% stake in the firm (as per shareholding pattern as on 30 September 2015).

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First Published: Nov 24 2015 | 3:27 PM IST

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