Shares of SEPC Ltd soared 14.6% on March 12, 2025, after the company inked a major agreement with ROSHN Group, a leading real estate developer in Saudi Arabia. The deal, valued at ₹2,200 crore, positions SEPC for significant infrastructure projects in the Middle Eastern nation.
Key Highlights of the Agreement
- Project Location: The contract focuses on infrastructure works in Jeddah, a city undergoing rapid modernization.
- Bidding Details: SEPC has submitted a bid for three designated zones within Jeddah North, Phase 1A.
- Project Valuation: The total project is worth SAR 893 million, roughly translating to ₹2,200 crore.
- Execution Plan: The deal includes a Framework Agreement, allowing SEPC to undertake phased infrastructure development through Call-off Orders—individual work orders for specific zones.
Strategic Importance
Saudi Arabia is witnessing a construction boom driven by its ambitious Vision 2030 initiative. The agreement with ROSHN Group gives SEPC a strong foothold in this growing market, paving the way for more opportunities in the region.
While SEPC has bid for three zones, the company expects to secure work in at least one of them. The phased execution model ensures efficient project management, allowing SEPC to scale its operations gradually.
Market Impact
Following the announcement, SEPC shares surged to ₹14.71 apiece on the BSE, marking a 14.65% intraday jump. However, some early gains were trimmed, with the stock trading 11.38% higher at ₹14.29 by 10:42 AM.
This collaboration marks a significant milestone for SEPC as it expands its global presence. With Saudi Arabia investing heavily in infrastructure, the partnership with ROSHN Group could unlock further growth prospects for the company.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investors should perform their due diligence or consult a financial advisor before making investment decisions.
