DMR Engineering Limited has announced the approval of its third Employee Stock Option Plan (ESOP) grant under the DMR ESOP Plan 2023. The company's board committee approved the grant, marking a significant step in the company's employee retention and incentive strategy.

ESOP Grant Details

The committee has approved the grant of 40,000 stock options to eligible employees of the company. These options are convertible into an equal number of equity shares, providing employees with potential ownership stakes in the organization.

Vesting and Exercise Terms

The stock options come with specific vesting and exercise conditions designed to align employee interests with long-term company performance. The options will vest after completion of one year from the grant date, ensuring employee commitment to the organization.

Key Timeline Features:

• Vesting Period: Options vest after 1 year from grant date
• Exercise Price: Fixed at ₹10.00 per option (face value)

Regulatory Compliance

The ESOP grant has been structured in compliance with the Securities and Exchange Board of India (Share Based Employee Benefits and Sweat Equity) Regulations, 2021. The company has fulfilled its disclosure obligations under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The pricing formula for the granted options sets the exercise price at the face value of the company's equity shares, providing employees with potential upside based on the company's future performance and market valuation.

Company Background

DMR Engineering Limited, formerly known as DMR Hydroengineering Infrastructures Limited, operates from its registered office at Sector 30, Faridabad, Haryana. The company maintains its corporate identification number as L74900HR2009PLC039823.

DMR Engineering Limited has secured a substantial consultancy contract for hydropower project management services in Arunachal Pradesh. The company has received a work order from Virtuaal Pareng Hydro Private Limited for the Pareng 14.5MW Hydropower Project.

Contract Details and Scope

DMR Engineering Limited has been awarded a 24-month consultancy contract worth ₹2.76 crores for project management services of the Pareng 14.5MW Hydropower Project in Arunachal Pradesh. The contract encompasses comprehensive project management services for the hydropower facility.

Project Specifications

The contract involves providing specialized consultancy services for project management of the hydropower facility. The engagement is structured as a domestic transaction with Virtuaal Pareng Hydro Private Limited, ensuring compliance with local regulatory requirements and industry standards.

Key aspects of the contract include:

• Nature of Services: Engineering consultancy for project management
• Client Classification: Domestic entity
• Contract Duration: 24-month execution timeline
• Project Type: Hydropower infrastructure development

Regulatory Compliance and Transparency

DMR Engineering has confirmed that the contract does not involve any related party transactions and has been executed at arm's length. The company disclosed that neither the promoter group nor group companies have any interest in Virtuaal Pareng Hydro Private Limited, ensuring complete transparency in the business arrangement.

Strategic Significance

This contract award demonstrates DMR Engineering's capabilities in the hydropower sector and reinforces its position as a reliable consultancy service provider for renewable energy projects. The 24-month engagement period provides revenue visibility and strengthens the company's order book in the infrastructure development segment.

The announcement was made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, reflecting the company's commitment to maintaining transparency with stakeholders and regulatory authorities.