Recommendation: Buy
CMP = Rs 283
Price target: Rs 340
- In a recent development, the energy division of Thermax Ltd has bagged three orders, details of which are given below.
- 2 x 25 megawatt (MW) cogeneration plant from a PVC and caustic soda manufacturer in Tamil Nadu. The value of the order is Rs140 crore.
- 1 x 40MW IPP being developed by a leading power utility company from Kolkata. The value of the order is approximately Rs150 crore.
- A repeat order from a leading cement manufacturer in south India for a unit of 18MW to be set up in Andhra Pradesh valued at approximately Rs55 crore.
- The above three orders are valued at Rs345 crore. These are large ticket orders, which in effect are accelerating the growth momentum in the company’s order book. Earlier the energy division of Thermax had bagged the single largest order valued at about Rs360 crore from Reliance Industries for their new refinery project.
- This order was for the design, manufacture, supply, erection and commissioning of auxiliary boilers and a heat recovery stem generator (HRSG).
