ITI Ltd shares zoom 9% after emerging as L1 bidder for Rs 3,000 crore project

Shares of ITI Ltd today rallied 9% to an intraday high of Rs 291 on the BSE after the company announced that it has emerged as the L1 bidder for a Rs 3,022 crore BharatNet project for Middle Mile Network.

The company has emerged as the lowest bidder for the project in Himachal Pradesh, West Bengal and Andaman & Nicobar Islands.

“ITI Limited, the country’s first PSU post-independence and a premier telecom manufacturing company with its consortium partner has emerged as L1 in BharatNet Phase-3 Project in the states of Himachal Pradesh for Package No. 8, and in West Bengal, and Andaman & Nicobar Islands for Package No. 9 with total order value of Rs. 3,022 Crores,” said the company in a filing to the exchanges.

ITI Limited-led Consortium has succeeded in these two packages out of 11 packages for which tender was opened till now out of a total of 16 packages covering the length and breadth of the country, the filing further added.

BSNL had invited tenders for the design, supply, construction, installation, upgradation, operation and maintenance of Middle Mile Network of BharatNet in the 16 Packages/Circles.

BharatNet project is funded by the Universal Service Obligation Fund (USOF) under the Department of Telecommunications (DoT), which aims to bridge the ‘digital divide’ by delivering high-speed broadband connectivity with bandwidth of 100Mbps to all Gram Panchayats (GPs) and villages in India ensuring equitable access to online services for all, especially those in rural areas. Also read: Reliance Power shares hit 5% lower circuit after SECI debars co from its tenders for 3 years

“We are delighted to have emerged as L1 for the prestigious BharatNet phase-3 project in the states of Himachal Pradesh and West Bengal, Sikkim, and Andaman & Nicobar Islands. BharatNet is a nation building project and it gives me immense satisfaction to be part of the execution of this gigantic project,” said Rajesh Rai, Chairman and Managing Director of ITI while commenting on the development.

ITI Limited has vast experience in executing OFN work around India for BharatNet, and is already successfully executing OFN works worth around Rs.5,400 Crores in the states of Tamil Nadu, Maharashtra, and Gujarat.

Shares of ITI have increased by 5.66% in the last one year but have declined by 6.45% in the current year so far.

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