Dharan Infra EPC share price is in focus after it has announced significant corporate developments that are set to enhance its financial health and project portfolio.
The company has secured work contracts totalling ₹1171.21 crore and concurrently executed a One-Time Settlement (OTS) Agreement of ₹10 crore with Canara Bank.
Skymax Infra Power Limited awarded work contracts to Dharan Infra EPC Limited on August 30, 2025, with a total estimated value of ₹1,171.21 crore. At the Orvakal Industrial Park in Andhra Pradesh, these contracts mostly include supply and installation services in addition to EPC (Engineering, Procurement, and Construction) activities. By March 31, 2027, the corporation hopes to have these projects fully executed.
Around 80% of the total value of these new contracts is devoted to foreign plant and machinery procurement, which will be managed by Dharan Infra EPC's subsidiary companies. All revenues and liabilities resulting from these contracts will be combined into Dharan Infra EPC Limited's financial statements in accordance with Ind-AS and other relevant accounting rules, even though the subsidiaries would be responsible for their execution.
Adding to these positive developments, on September 2, 2025, Dharan Infra-EPC Limited announced the execution of an OTS Agreement with Canara Bank for the structured resolution of its outstanding financial obligations. The total settlement value for this agreement is ₹10 crore.
As part of the settlement, the company has made an initial upfront payment of ₹50,00,000, representing 5% of the outstanding amount. The remaining balance is structured to be discharged in five instalments, with the final payment due within 90 days from the sanction date.
Dharan Infra-EPC Limited highlighted the strategic and financial implications of this settlement, noting it as a significant step in restructuring its financial position and regularising its obligations. The company expects this agreement to have a positive impact on its balance sheet, reinforce its credibility among stakeholders, and lay a foundation for improved financial discipline and readiness for future growth.
Furthermore, the company clarified that while some loans still remain classified under default, they are fully secured by collateral with an assessed value approximately double the principal sum of the outstanding facilities. This robust collateral ensures adequate protection for lenders and mitigates any material adverse impact on the company's operational or financial integrity.
On Wednesday, September 3, Dharan Infra-EPC share price hit its upper circuit limit of the day on NSE of 2%.
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