Ceinsys Tech shares hit a new high of Rs 848.40, as they zoomed 18 per cent on the BSE in Wednesday’s intraday trade amid heavy volumes after the company received a Letter of Award (LoA) from the State Water and Sanitation Mission (SWSM), Water Supply and Sanitation Department (WSSD), Government of Maharashtra, amounting to Rs 332 crore.
The implementation of the contract is two years, while the operations and maintenance (O&M) aspect is to be completed over five years. The LoA is for Rs 331.62 crore, plus the value of O&M, to be determined separately.
At 01:58 PM, the stock price of the smallcap company was trading 17 per cent higher at Rs 844.65, as compared to the 0.31 per cent gain on the BSE Sensex. The average trading volumes on the counter jumped 10-fold, with as many as 344,000 equity shares, representing 1.98 per cent of the total equity of Ceinsys Tech, having changed hands on the BSE, data from the exchanges showed.
Currently, Ceinsys Tech is trading in the ‘X’ group of stocks on the BSE. X-group classified equity securities include companies that are only listed and traded on the Bombay Stock Exchange. In the past four months, the Ceinsys Tech’s stock price has more than doubled, or skyrocketed 112 per cent, from Rs 401 on June 5.
Ceinsys Tech is a technology-driven company specialising in geospatial, enterprise and engineering solutions that include independent opinions, actionable insights and efficient solutions for private and government enterprise customers across the utility, infrastructure, natural resources and manufacturing sectors, among others.
Last month, Ceinsys had raised Rs 235 crore by allotting equity shares and warrants on preferential basis. Rare Capital, a US-based investment firm with a successful track record in investing in emerging growth companies has invested almost Rs 125 crore (US $15 million) as a part of this preferential allotment, the company said.
Ceinsys Tech said the fundraise will enable the company to expand through inorganic growth activities, while also enabling the company’s international footprint to increase by expanding its services portfolio overseas.
In addition to the investment in the US, the company has also expanded its presence in the Asia Pacific region by setting up a wholly-owned subsidiary to expand into technology enablement services that will be offered globally.
Separately, on September 26, 2024, the company had received a letter of acceptance from City And Industrial Development Corporation of Maharashtra Limited (CIDCO) for the implementation of integrated GIS Enterprises, amounting to Rs 29.20 crore.
Further, the sector is witnessing significant growth driven by increasing demand for geospatial data and services, adoption of new technologies, government initiatives and policies, emerging applications, and investments.
Moreover, geospatial embedding has increased across national programs. The recent budget has laid out a clear road map for Viksit Bharat, by planned strategic investments into Infrastructure and related services to provide SMART city solutions.
“Some of the areas highlighted in the budget are the core strengths of the company’s capabilities,” Ceinsys Tech said.
First Published: Oct 09 2024 | 2:52 PM IST
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