Sadbhav Engg wins Rs 99cr order

Infrastructure construction company Sadbhav Engineering has bagged road construction projects worth Rs 99.01 crore by the Government of Chhattisgarh, the company informed the Bombay Stock Exchange today.

The projects awarded to the company are rehabilitation and upgrading of phase-II roads, part of the Chhattisgarh State Road Sector Development project. Out of these, its first project is construction of Abhanpur (km 27)-Rajim (Km 45)- Gariyaband (km 90.22) Section of SH 2B in Chhattisgarh of contract value Rs 58.39 crore and second of Rajim (Km 0) to Mahasamund (km 39.12) section of MDR in Chhattisgarh of contract value Rs 40.62 crore.

The Rs 491 crore company currently has an order book of Rs 2394 crore. Over 70% of company's revenue comes from road construction projects. Apart from this 15% is contributed by irrigation and 10% by mining.

According to the company, road sector is a significant contributor to its revenues and expects this trend to continue on account of similar composition of its order book. It also forsees high growth potential for revenues from irrigation projects and expects its 10 year mining operation contract from Gujarat Heavy Chemicals (GHCL) to give a sizeable contribution.

Sadbhav Engineering has been in the industry for 19 years but got listed on the BSE in 2006. It has also participated in projects by Sardar Sarovar Narmada Nigam and National Highways Authority of India and worked with industry majors like Larsen & Turbo and Punj Lloyd.