Shares of Zen Technologies Ltd gained on October 1 after the company secured an Annual Maintenance Contract (AMC) worth Rs 46 crore, including 18 percent GST, for simulators from the Ministry of Defence.
This five-year contract guarantees the ongoing maintenance of the simulators developed by Zen Tech.
"This AMC solidifies Zen’s ongoing partnership with the Ministry of Defence and underscores the Ministry’s confidence in the company’s cutting-edge defence solutions. The agreement highlights Zen’s ability to meet the demanding operational needs of India’s defence forces through advanced simulator technology," the company said in a regulatory filing.
At 9:17 am, Zen Tech shares were trading half a percent higher at Rs 1,726.90 on the National Stock Exchange (NSE).
Follow our market blog to catch all the live action
As of this contract, "Zen continues to lead the way in the defence simulation space, ensuring the highest standards of operational readiness and maintenance support for the Ministry of Defence’s critical defence assets," it added.
Zen Technologies offers military training and anti-drone solutions, focusing on land-based military training simulators, driving simulators, live range equipment, and anti-drone systems.
Based in Hyderabad, the company has an R&D facility recognized by the Ministry of Science and Technology, Government of India. Zen has filed over 155 patents, with more than 75 granted, and has delivered over 1,000 training systems globally.
Zen Technologies shares ended marginally higher at Rs 1,713 on the National Stock Exchange (NSE) in the previous session. The stock has gained around 116 percent so far this year, significantly outperforming Nifty's returns of 18 percent.
In the past 12 months, the counter has risen around 128 percent, more than doubling investors' capital. In comparison, Nifty rose 32 percent during this period.
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
