After receiving an order from Tata Steel for ₹364.69 crore for the conversion of hot rolled coils into tubes, BMW Industries’ shares increased by around 12% during Wednesday’s intraday trading session.
The steel processing company’s stock experienced its largest intraday gain since May 5 as it increased by 11.68 percent during the day to ₹59.7 per share. In contrast to the BSE Sensex’s 0.72 percent increase as of 11:06 AM, the stock pared gains to trade 4.5% higher at ₹55.8 per share.
The company’s stock is currently trading at its highest level since December of last year. From its recent lows of ₹47 earlier this month, the counter has rebounded by about 20%. This year, the stock has increased 4% while the benchmark Nifty 50 has advanced 4.7%. Based on statistics from the BSE, BMW Industries’ entire market capitalization is ₹1,256.88 crore.
According to an exchange filing on Wednesday, BMW Industries and its fully owned subsidiary BMW Iron & Steel Industries have obtained an order from Tata Steel for the conversion of hot rolled coils into tubes.
According to the announcement, the work would be done at the BMW Iron & Steel facility in Jamshedpur and BMW Industries’ Hazibagan plant in Howrah. With a total order value of over ₹364 crore, the deal, which is valid until October 31, 2027, is worth ₹188.60 crore for BMW Industries and ₹176.09 crore for its subsidiary.
In the statement, the business stated, “The objective is to sustain the order of Tata Steel, ensuring optimum utilisation of existing infrastructure for coil processing.” According to the corporation, these contracts are a normal part of its operations and fit with its plan to keep things moving forward and preserve operational efficiency until the fiscal year that ends in 2026–2027.
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This new order gives us long-term income stability and increased asset efficiency in addition to demonstrating their faith in our ability to execute, our quality standards, and our plant infrastructure. We’re still committed to honing our core skills, making the most of our current capabilities, and expanding gradually in response to market demands,” stated Harsh Bansal, managing director of BMW Industries.
One of the top producers in the steel industry, the company produces HRPO coils, CR coils, GP coils, GC sheets, MS and GI pipes, TMT rebars, and other products, and processes them for major Indian steel companies. Located in the Eastern Region, the corporation was founded in 1981 and has its registered office in Kolkata, West Bengal.
