Dee Development Engineers Secures INR 173 Crore Contracts
Filing Summary
Dee Development Engineers Ltd and its material subsidiary have secured contracts totaling approximately INR 173 Crores. The company received contracts worth INR 88 Crores, while its subsidiary, M/s DEE Piping Systems (Thailand) Co., Ltd., secured contracts valued at US$ 9.5 million. The contracts involve manufacturing and supply of critical piping solutions and HRSG piping. The domestic contracts are expected to be delivered within a year, while international deliveries are scheduled for completion by December 2028. These developments were disclosed under Regulation 30 of the SEBI Listing Regulations.
Dee Development Engineers Ltd has announced that it, along with its material subsidiary, has secured contracts totaling approximately INR 173 Crores. The contracts involve the manufacturing and supply of critical piping solutions. The company itself has been awarded contracts worth INR 88 Crores, while its subsidiary, M/s DEE Piping Systems (Thailand) Co., Ltd., has secured contracts valued at US$ 9.5 million.
The financial terms of the contracts include INR 88 Crores for the company, with INR 26 Crores awarded by Bharat Heavy Electrical Limited for the manufacturing and supply of critical piping on a job work basis. Additionally, a joint venture of an Indian and a foreign conglomerate in the power sector has awarded contracts exceeding INR 42 Crores for similar services. The subsidiary’s contracts consist of US$ 8 million for HRSG piping on a job work basis and US$ 1.5 million for pipe fittings and flanges with material basis.
The scope of work for these contracts includes the manufacturing and supply of critical piping solutions. The company will provide these services on a job work basis, as specified in the letters of intent. The subsidiary’s responsibilities include the manufacturing of HRSG piping for 11 units and pipe fittings and flanges for 7 units. These contracts are structured to meet the specific requirements of the power sector, both domestically and internationally.
The contracts awarded to Dee Development Engineers Ltd are from domestic entities, while the subsidiary’s contracts are from an international entity based in the United States. The domestic contracts are expected to be executed within a year, while the international contracts have delivery timelines extending to December 2028 for HRSG piping and December 2027 for pipe fittings and flanges.
The timeline for the execution of these contracts includes a one-year delivery period for the domestic contracts. The international contracts have specified delivery dates, with HRSG piping for 11 units to be completed by December 2028 and pipe fittings and flanges for 7 units by December 2027. These timelines are crucial for meeting the contractual obligations outlined in the agreements.
Bharat Heavy Electrical Limited is a significant player in the power sector, known for its expertise in manufacturing and supplying electrical equipment. The joint venture awarding the other domestic contract is a collaboration between an Indian and a foreign conglomerate, focusing on power sector projects. The US-based OEM awarding the international contract specializes in power sector equipment, emphasizing the strategic importance of these contracts for Dee Development Engineers Ltd.
Dee Development Engineers Ltd specializes in providing engineering solutions, particularly in the field of piping systems. The company focuses on expanding its market presence through strategic contracts and partnerships. Its subsidiary, M/s DEE Piping Systems (Thailand) Co., Ltd., plays a crucial role in enhancing the company’s international footprint, particularly in the power sector.