VA Tech Wabag shares rise 4% after securing major Bengaluru wastewater treatment order

Shares of VA Tech Wabag gained 4% during Monday’s trading session, rising to Rs 2,072, after the water technology company announced a major order win from the Bangalore Water Supply and Sewerage Board (BWSSB) for the development of two energy-efficient wastewater treatment facilities in Bengaluru.

The company informed the exchanges that it secured a “Large” order inflow from BWSSB, strengthening its position in India’s municipal wastewater treatment sector.

Under the contract, WABAG will undertake the Design, Build and Operate (DBO) scope for two key wastewater treatment projects:

• A 100 MLD Sewage Treatment Plant (STP) along with a 25 MLD Tertiary Treatment Plant (TTP) at Byramangala, Bengaluru
• A 60 MLD Sewage Treatment Plant (STP) at Bellandur, Bengaluru

The project has been awarded by a domestic entity, BWSSB, and includes a complete technology package covering process engineering, electrical engineering, instrumentation and control systems, building services, and operations & maintenance.

The EPC portion of the project is expected to be completed within 36 months, followed by a seven-year Operations & Maintenance (O&M) period.

WABAG Strengthens Leadership in Sustainable Water Infrastructure
Commenting on the order win, Mr. S. Natrajan, Vice President & Head – Sales and Marketing, India Cluster, said the twin projects reinforce WABAG’s leadership in India’s municipal wastewater treatment segment.He highlighted that the facilities will incorporate energy-efficient treatment technologies and biogas-based power generation, creating a scalable model for resource recovery, circularity, and energy optimization.

According to the company, the projects will significantly enhance Bengaluru’s sewage treatment capacity while supporting environmentally responsible wastewater management and Karnataka’s long-term water security goals.

Understanding WABAG’s Order Classification
As per the company’s filing, domestic orders are categorized based on value : Small: Up to Rs 100 crore, Medium: Rs 100 crore to Rs 250 crore, Large: Rs 250 crore to Rs 600 crore, Major: Rs 600 crore to Rs 1,000 crore, and Mega: Above Rs 1,000 crore

For international orders, the classification is based on order value in US dollar terms. A Small order is up to $10 million, a Medium order ranges from $10 million to $30 million, a Large order is between $30 million and $75 million, a Major order falls between $75 million and $150 million, and a Mega order is above $150 million.

Strong Stock Market Performance
The latest order win comes amid strong momentum in WABAG’s stock performance. The company’s shares have gained around 45% in the last three months, while over the past three years, the stock has delivered a remarkable rally of nearly 291%.

VA Tech Wabag currently has a market capitalisation of approximately Rs 12,406 crore. The stock 52-week high stands at Rs 2,253 and a 52-week low of Rs 1,033.

Technical Outlook
From a technical perspective, WABAG’s 14-day Relative Strength Index (RSI) stands at around 50.9, indicating a neutral trend. An RSI below 30 generally signals oversold conditions, while readings above 70 indicate overbought territory.

The stock is currently trading above 5 out of 8 key Simple Moving Averages (SMAs), suggesting a positive trend in its price movement.

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