Introduction:
Major desalination plant project in Saudi Arabia, valued at USD 317 million, has been canceled. The decision follows internal administrative procedures by the customer, with ongoing discussions to understand the reasons behind the cancellation and its future implications.
Share price movement of Va Tech Wabag:
On December 18, 2024, VA Tech Wabag Ltd. opened at ₹1,705.05, down 9.46% from its previous close of ₹1,883.45. The stock reached a high of ₹1,755.50 and a low of ₹1,522.30. By 12:24 PM, it traded at ₹1,680.80, a 10.76% decrease, with a market cap of ₹10,452.97 crore.
WABAG Order in Saudi Arabia Canceled:
VA Tech Wabag has announced that its previously awarded order for a 300 MLD Mega Sea Water Desalination Plant in Saudi Arabia, valued at USD 317 million, has been canceled. This follows a notification from the customer on December 16, 2024.
The cancellation stems from the customer’s internal administrative procedures, as per Wabag’s update under SEBI regulations. The company has stated that it is in communication with the customer to understand the reasons behind the decision.
This development raises questions about the future of the project, which had been seen as a significant opportunity for WABAG in the Middle Eastern market. The company remains engaged with the customer for further clarification.
Recent news on Va Tech Wabag:
As of November 7, 2024, VA Tech Wabag reported a 17.2% YoY increase in net profit for Q2 FY2024, reaching ₹70.3 crore. Revenue grew 5.3% YoY to ₹700 crore, driven by international projects and technology focus.
Ace investor holding in Va Tech Wabag:
Rekha Jhunjhunwala
Rekha Jhunjhunwala holds an 8.04% stake in VA Tech Wabag Ltd, amounting to 5,000,000 shares valued at ₹838 crore. Her investment reflects significant confidence in the company’s future prospects.
Stock performance of Va Tech Wabag for Period of 1 week, 6 months and 1 year:
VA Tech Wabag Ltd. has shown strong performance, with a 2.53% return over the past week, 61.2% over the last six months, and an impressive 197% return over the past year, reflecting significant growth and investor confidence.
Also Read: IT stock hits 10% upper circuit after company’s promoter to sell 6.5% stake via OFS
Shareholding pattern of Va Tech Wabag:
| All values in % | Sep 2024 | Jun 2024 | Mar 2024 |
| Promoter | 19.10% | 19.10% | 19.10% |
| FII | 14.70% | 11.50% | 12.50% |
| DII | 3.60% | 5.00% | 5.60% |
| Public | 62.60% | 64.40% | 62.80% |
About Va Tech Wabag:
VA Tech Wabag Ltd. (NSE: WABAG) is a global leader in water treatment, offering EPC and O&M solutions for sewage, drinking water, desalination, and effluent treatment. The company operates across multiple regions, including India, the Middle East, and Europe.
Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.
