On October 10, VA Tech Wabag announced that it had secured substantial repeat orders from Reliance Industries Ltd., focusing on water treatment systems for Reliance’s facilities at Dahej and Nagothane. This order involves the design, engineering, supply, installation, testing, and commissioning of a 100 million liters per day (MLD) desalination plant. The project is scheduled to be completed over a period of 38 months, after which VA Tech Wabag will also manage the plant for 15 years under an Operation and Maintenance (O&M) contract.
The desalination plant will utilize cutting-edge desalination technology and is set to serve the 10 GW integrated solar photovoltaic (PV) manufacturing facility of Indosol Solar in Andhra Pradesh. Saravanan Krishnan, the Head of Desalination for VA Tech Wabag’s India cluster, stated that this major order signifies the company’s strategic entry into the Solar PV sector, which he identified as a critical industry for future growth and innovation.
This recent contract follows another significant win announced by the company earlier in the same week, also from Reliance Industries, for water treatment systems at their existing facilities. Though VA Tech Wabag has not provided specific figures on the value of these latest orders, the company classifies “large” orders as those valued between ₹300 crore and ₹500 crore.
While the firm has not yet revealed the overall size of its current order book following these wins, the management had previously shared insights during an interview with CNBC-TV18 in August. At that time, they projected that the order book would be between ₹16,000 crore and ₹17,000 crore by the end of the year. Additionally, Skandaprasad Seetharaman, a key figure at VA Tech Wabag, pointed out that the company was the preferred bidder for contracts worth over ₹6,000 crore, further establishing its position as a leader in the industry.
VA Tech Wabag’s stock experienced a notable 5.7% rise on Monday, closing at ₹1,652 per share. This surge reflects investor confidence in the company’s long-term prospects, which have been bolstered by its recent wins. In fact, the company’s stock performance in 2024 has been remarkable, with its value more than doubling since the beginning of the year, delivering a 158% increase in total. This upward momentum indicates strong market trust in the company’s strategic direction and continued growth trajectory.
