Diamond Power Infrastructure Ltd has announced receiving a Letter of Intent from Larsen & Toubro, one of India's leading engineering and construction conglomerates, for power cables worth ₹72.51 crores. This substantial order represents a significant business development for the cables manufacturer.

Order Details and Timeline

The contract specifications highlight the scope and timeline of this major engagement:

Business Impact

This Letter of Intent strengthens Diamond Power Infrastructure's position in the power cable segment and adds substantial value to its forward order book. The nine-month execution timeline from January to September 2026 provides the company with clear revenue visibility for a significant portion of the upcoming fiscal period.

The partnership with Larsen & Toubro, a prominent player in India's infrastructure and engineering sector, demonstrates Diamond Power Infrastructure's capability to secure orders from established industry leaders. Such collaborations often serve as validation of the company's technical expertise and execution capabilities in the competitive cables market.

Strategic Significance

Securing orders from major engineering firms like Larsen & Toubro reflects positively on Diamond Power Infrastructure's market positioning within the cables industry. The substantial order value of ₹72.51 crores indicates the scale and importance of the underlying project requirements, positioning the company to contribute to significant infrastructure development initiatives.

Diamond Power Infrastructure Limited has secured a significant Letter of Intent for power cable supply, marking a notable business development for the company. The order, valued at ₹66.18 crores (exclusive of GST), was awarded by Hild Projects Private Limited, an EPC contractor.

Order Details and Specifications

The contract encompasses the supply of power cables under specific terms and conditions. The following table outlines the key parameters of this order:

Contract Structure and Timeline

The power cable supply order operates on a "Kms rate basis with PV Formulae" structure, indicating a distance-based pricing mechanism with price variation adjustments. The contract is scheduled for execution over a six-month period, commencing January 1, 2026, and concluding by June 30, 2026.

The domestic nature of this order reinforces Diamond Power Infrastructure's position in the Indian power infrastructure sector. The company will be responsible for supplying power cables as per the specifications outlined in the Letter of Intent.

Regulatory Compliance and Transparency

Diamond Power Infrastructure has disclosed this development in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has confirmed that this order does not fall within the ambit of related party transactions.

Additionally, the company has clarified that none of the promoter, promoter group, or group companies have any interest in Hild Projects Private Limited, the entity that awarded the contract. This ensures the transaction maintains arm's length characteristics and regulatory compliance.

Market Performance and Business Impact

Shares of Diamond Power Infrastructure ended lower by 0.78% at ₹140.00 ahead of the disclosure announcement. Despite the stock's decline, the ₹66.18 crore order represents a substantial addition to Diamond Power Infrastructure's order book.

The company operates in the power cables segment and continues to benefit from order inflows linked to ongoing investments in transmission and infrastructure projects. The six-month execution timeline suggests efficient project planning and delivery capabilities, positioning the company to complete the supply requirements within the specified timeframe.