Sattva Engineering Construction Limited has secured a significant order worth ₹108.40 crore from Thiruverkadu Municipality to design, build, and commission a 46 MLD capacity sewage treatment plant at Koladi. The contract includes operation and maintenance services for a period of 10 years, marking a substantial addition to the company's order book in the infrastructure sector.

The Letter of Acceptance was awarded on June 12, 2026, referencing Tender Notice No. 2422/2024/E1. The project involves the design, engineering, construction, and commissioning of the facility using Sequential Batch Reactor (SBR) technology. The company will be responsible for the plant's operation and maintenance for 120 months following the construction phase.

Financial terms of the agreement stipulate a total contract value of ₹108,40,21,646, excluding GST. This amount is divided into two primary components: the construction phase is valued at ₹78,78,77,946, while the operation and management phase accounts for ₹29,61,43,700. The execution timeline requires the design, construction, and commissioning to be completed within 18 months.

As part of the agreement, Sattva Engineering Construction must provide a Performance Bank Guarantee equivalent to 10% of the contract value, including GST, within 15 days of receiving the Letter of Acceptance. The disclosure was made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Contract Details

Sattva Engineering Construction Limited has received a penalty order from the Income Tax Department – National Faceless Assessment Centre (NFAC) imposing a financial liability of ₹1,50,000 for Assessment Year 2022-23. The order, issued under Section 271B of the Income-tax Act, 1961, was received by the company on June 5, 2026. The penalty arises from non-compliance with requirements prescribed under the Act for the specified assessment year.

The disclosure was submitted to the National Stock Exchange of India in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. R Sekar, Whole-time Director, confirmed the receipt of the communication and stated that the company is currently reviewing the order. The management is evaluating appropriate legal remedies, which may include filing an appeal or representation before the relevant authority if required.

The financial implications of the order are limited to the penalty amount of ₹1,50,000. The company noted that the DIN of the order is 2026202240425919212C. Sattva Engineering Construction has indicated that it will provide further updates in accordance with applicable regulations as necessary.

Details of the Communication

The following table outlines the key particulars of the penalty order received by the company: