KEC International says PGCIL tender restriction will not affect ongoing contracts

KEC International has clarified that a recent communication from Power Grid Corporation of India will not affect ongoing contracts or materially impact its financial position. The company said the restriction bars it from participating in Power Grid tenders for nine months, but this will not influence the execution of existing transmission projects.

In a press release dated November 19, 2025, the company said its Year to Date order intake for FY26 stands at Rs 17,066 crore, a 17 percent increase from a year earlier. Power Grid accounted for about 4 percent of this year’s orders, compared with about 27 percent last year. KEC’s share price fell more than 10 percent in early trading on Wednesday after the communication surfaced. The stock closed at Rs 710.20, down 9.08 percent from the previous session.

The restriction is tied to an older case from March in which a Power Grid official was arrested for allegedly taking a bribe from a KEC employee. KEC said its ongoing projects remain unaffected and that it is studying its options, including the possibility of seeking reconsideration. The company reported an unexecuted order book of Rs 39,325 crore, with Power Grid contributing about 15 percent.

KEC said it continues to work with a large tender pipeline of more than Rs 1,80,000 crore and an L1 position above Rs 4,000 crore. The company said it does not expect any significant business impact and reaffirmed its commitment to ethics, compliance, and high governance standards.