Shares of Transformers and Rectifiers (India) rallied about 8% on Monday after the company announced it had secured a large order from MEIL for the manufacturing of transformers and related work.

The order is valued between Rs 100 crore and Rs 500 crore, excluding GST, and is scheduled for execution over a period of 35 months. The company said the contract is expected to strengthen its order pipeline.

Transformers and Rectifiers (India) is an Ahmedabad-based manufacturer of power and distribution transformers, serving utilities and industrial customers in India and overseas. MEIL (Megha Engineering and Infrastructures) is a Hyderabad-based infrastructure company involved in water management, power, and other engineering projects.

The order win provides the transformer maker with a multi-year revenue visibility extending nearly three years, adding to its existing order book in the power transmission and distribution equipment segment. India's power transmission and distribution equipment sector has been seeing strong order flows in recent years as state utilities and central agencies pursue grid expansion and modernization, with domestic transformer makers among the beneficiaries. Company announcements of order wins in the Rs 100–500 crore range are classified as "large" orders under exchange disclosure norms, which require listed firms to report significant contracts to the stock exchanges.

Source: Economic Times Markets