JBM Auto Ltd witnessed a significant surge of almost 10% in its shares today following the announcement that its subsidiary, JBM Ecolife Mobility Private Limited, secured a tender to operate as a bus operator. The tender entails the procurement, supply, operation, and maintenance of 1,390 electric buses, which accounts for approximately 65% of the total, along with the development of associated electric and civil infrastructure under the PM-eBus Sewa Scheme, operating on a Gross Cost Contracting (GCC) basis.
The order holds a value of Rs 7,500 crore and is slated for completion within a timeframe of 12 to 18 months. Consequently, JBM Auto shares surged by 9.88% to reach Rs 2,060.60, compared to the previous closing price of Rs 1,875.20 on the BSE.
From a technical perspective, the relative strength index (RSI) of the stock is currently at 43.4, suggesting it is neither in the overbought nor oversold territory. With a one-year beta of 0.6, JBM Auto stock has exhibited very low volatility over the past year. Presently, the stock is trading below the 20-day, 30-day, and 50-day moving averages but above the 5-day, 10-day, 100-day, and 200-day moving averages.
JBM Auto announced that its subsidiary, JBM Ecolife Mobility Private Limited, has secured the position of L1 and has been granted the tender to serve as a bus operator. The tender involves the procurement, supply, operation, and maintenance of 1,390 electric buses, constituting approximately 65% of the total, as well as the development of associated electric and civil infrastructure under the PM-eBus Sewa Scheme on Gross Cost Contracting (GCC) terms. The company confirmed the acknowledgment of the Letter of Confirmation of Quantities eligible for award issued by Convergence Energy Services Limited (CESL) on March 19, 2024.
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JBM Auto Limited stands as a leading manufacturer of automotive systems, extending its expertise into the burgeoning e-mobility sector. Its diverse product line encompasses the production and sale of sheet metal components, tools, dies, molds, and buses. Moreover, the company offers a comprehensive range of services including the sale of spare parts, accessories, and maintenance contracts tailored specifically for buses.
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