Kirloskar Brothers' UK Arm Wins Rs 150 Crore International Order
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SPP Pumps Ltd, a wholly owned material subsidiary of Kirloskar Brothers Limited, has secured an order worth GBP 11.67 million (approximately Rs 149.59 crore) from Saipem Offshore Construction SPA for the supply of vertical pumps and spares.
✨ Key Takeaways
On Wednesday, Indian equity benchmarks traded higher, with the benchmark Nifty 50 index gaining 0.11 per cent to 24,078.50. Against the broader market strength, shares of Kirloskar Brothers Limited traded at Rs 1,925.50, down 0.23 per cent from the previous close, after the company announced that its wholly owned UK subsidiary, SPP Pumps Ltd, has secured a significant international order from Saipem Offshore Construction SPA.
Rs 150 Crore Order for Vertical Pumps
SPP Pumps Ltd has received an order valued at GBP 11.67 million, equivalent to approximately Rs 149.59 crore, for the supply of vertical pumps and spares. The contract has been awarded by Saipem Offshore Construction SPA, a global offshore engineering and construction company. The company stated that the order is scheduled to be executed within 52 to 60 weeks from the date of receipt.
Contract Terms
Under the terms of the agreement, SPP Pumps will furnish a performance bond equivalent to 10 per cent of the contract value and a warranty bond of 5 per cent of the contract value. Kirloskar Brothers also clarified that the transaction does not qualify as a related-party transaction and that neither the promoter nor the promoter group has any interest in the awarding entity.
Strengthening International Presence
The company described the contract as a significant order for its UK subsidiary, which is among the leading manufacturers of pumps and pumping systems in the United Kingdom. The order further strengthens SPP Pumps' presence in the global energy and offshore engineering sector and reinforces its position as a supplier for large international infrastructure and industrial projects.
About the Company
Kirloskar Brothers Limited is one of India's leading fluid management solutions companies, manufacturing pumps, valves and hydro turbines for sectors including water management, power, oil & gas, infrastructure and industry. Its wholly owned subsidiary, SPP Pumps Ltd, is a UK-based manufacturer of pumps and pumping systems serving customers across the energy, industrial and offshore sectors.
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Disclaimer: The article is for informational purposes only and not investment advice.