HLE Glascoat Ltd. experienced a 5% surge in its share price on Wednesday following a significant announcement regarding its subsidiary, Kinam Engineering Industries Private Limited. Kinam Engineering has secured an international contract valued between USD 42 million and USD 48 million.
Major Contract for North American Energy Storage
The substantial order is for the supply of specialized shell and tube heat exchangers and associated process equipment. This equipment is destined for a large-scale, long-duration energy storage project located in North America. The contract was awarded by a prominent international entity operating within the energy storage sector.
HLE Glascoat confirmed that the scope of work for Kinam Engineering includes the comprehensive design, engineering, manufacturing, testing, and eventual supply of the specialized equipment. The company also clarified that this is an international contract and does not involve any related-party transactions, ensuring transparency.
Execution Timeline and Strategic Impact
According to the company's exchange filing on November 10, the execution of this significant international order will be carried out progressively through November 2028, in accordance with the agreed contractual terms. This new contract is expected to bolster Kinam Engineering's business in specialized process equipment and provide valuable exposure to the expanding long-duration energy storage segment.
The positive market reaction saw HLE Glascoat shares touch a high of Rs 442.35, marking an exact 5% gain from its previous close of Rs 421.30.