L&T shares hit new record high after winning contract to construct tunnel at Marine Drive

The corridor will cut travel time between Orange Gate and Marine Drive.

Shares of L&T Construction rose on September 29 after it announced a "mega order" secured by its heavy civil business. The market responded positively to this development, likely leading to the rise in the company's share price.

The order for the design and construction of the Underground Road tunnel Project between Orange Gate, Eastern Free Way to Marine Drive Coastal Road in Mumbai holds substantial value, amounting to more than Rs 7,000 crore, the company said in a press release.

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The major scope of work for project comprises design & construction of twin road tunnels, using tunnel boring machines (TBMs), connecting these tunnels to the existing elevated Eastern Free Way at Orange Gate near its southern terminal through transition ramps and to the Marine drive at Mumbai, it said.

The project alignment will run primarily under the Sardar Vallabhbhai Patel Road and is to be completed within 54 months.

Shares of L&T hit a 52-week high in early trade, continuing its strong run over the past few trading sessions.

L&T stocks were up more than 1 percent at Rs 3,040 at around 10:05 am, but hit a 52-week high of Rs 3,058.35 earlier in the day.

The company’s shares had hit a record high in the previous session after UBS bumped up its target price to Rs 3,600 per share.

Additionally, the shares of L&T have gained nearly 12 percent in a month and over 45 percent in 2023.

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