Puravankara Limited announced that its wholly owned subsidiary, Starworth Infrastructure Construction Limited (SICL), has received a Letter of Acceptance for a major construction contract worth ₹509.52 crores. The contract was awarded by M/s. One Bangalore Luxury Projects LLP for the construction of Varnam Phase 1 at One Bangalore Luxury Project (OBLP), marking a significant milestone for the company's subsidiary operations.

Project Details and Scope

The comprehensive contract encompasses turnkey construction services including civil works, finishes, MEP (Mechanical, Electrical, and Plumbing), and external development. The project is strategically located in Akalehahalli-Mallenhalli Village, Kasaba Hobli, Devanahalli Taluk, Bengaluru Rural District, Karnataka.

Contract Structure and Execution

The agreement is structured as an item rate contract, providing flexibility in pricing based on actual quantities executed. The project has been allocated a 36-month execution timeline, allowing SICL to deliver the comprehensive development in phases while maintaining quality standards. The turnkey nature of the contract ensures complete project responsibility from civil construction to finishing works.

Regulatory Compliance and Disclosure

The announcement was made in compliance with Regulation 30 and Schedule III of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has provided comprehensive details as per SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, ensuring full transparency with stakeholders regarding this material development.

Strategic Significance

This substantial order win demonstrates SICL's capabilities in handling large-scale luxury residential projects and reinforces Puravankara's strategic approach of leveraging subsidiary expertise for comprehensive project execution. The contract value of ₹509.52 crores represents a significant addition to the company's order book and strengthens its position in the competitive Bengaluru real estate market.

The Varnam Phase 1 represents a significant luxury housing project in the rapidly developing Devanahalli region, known for its proximity to Kempegowda International Airport and emerging as a key growth corridor in Bengaluru. This contract award underscores the subsidiary's growing reputation in the construction sector and its ability to secure high-value projects from premium developers.

Puravankara Limited has announced a major business development with its subsidiary Starworth Infrastructure receiving a Letter of Award (LOA) for a ₹5.1 billion contract. This significant contract award marks an important milestone for the real estate company's expansion strategy through its subsidiary operations.

Contract Award Details

The Letter of Award for Starworth Infrastructure represents a substantial business opportunity for Puravankara's subsidiary operations. The contract value demonstrates the scale of infrastructure projects the company is undertaking through its subsidiary network.

Business Impact

This contract award strengthens Puravankara's position in the infrastructure development sector through its subsidiary operations. Starworth Infrastructure's success in securing this substantial Letter of Award reflects the company's capabilities in executing large-scale projects and winning competitive bids.

The ₹5.1 billion contract represents a significant addition to the company's project portfolio, potentially contributing to future revenue streams and business growth. This development showcases Puravankara's diversified approach to real estate and infrastructure development through its subsidiary companies.

Strategic Significance

The LOA confirmation demonstrates the subsidiary's ability to compete effectively in the infrastructure sector. For Puravankara, this contract award through Starworth Infrastructure adds to its diversified revenue base beyond traditional real estate development activities.