Antony Waste Stock Surges 8% on ₹329 Crore Maharashtra Contract Win

Introduction

Antony Waste Handling Cell Ltd saw its shares surge by 7.80% to Rs 535.25 after announcing a significant contract win. The company's subsidiary, Antony Lara Enviro Solutions Private Ltd, has secured a project worth approximately ₹329.45 crore from the Thane Municipal Corporation (TMC) in Maharashtra. This development strengthens the company's order book and expands its footprint in the integrated waste management sector.

Details of the Thane Municipal Corporation Contract

The contract involves the development of a mixed solid waste processing plant with a capacity of 600 to 800 tonnes per day (TPD). The project will be executed on a Design, Build, Operate, and Transfer (DBOT) basis. The facility will be located on land owned by the TMC at Atkoli in Bhiwandi taluka. The scope of work is comprehensive, covering the design, engineering, construction, and commissioning of the plant.

Furthermore, Antony Lara Enviro Solutions will be responsible for the complete operation and maintenance (O&M) of the facility for a concession period of 10 years. A key component of the project is the establishment of a Material Recovery Facility (MRF) designed for the segregation and processing of mixed municipal solid waste, a critical step in modern waste management.

Financial Implications and Project Funding

The total value of the contract is estimated at ₹329.45 crore over the 10-year operational period, providing long-term revenue visibility for the company. The project requires an initial capital expenditure of approximately ₹67 crore. According to the agreement, this amount will be reimbursed by the Thane Municipal Corporation upon the successful achievement of specific milestones outlined in the tender documents. This reimbursement structure mitigates a significant portion of the upfront financial risk for Antony Waste.

The company has also clarified that the transaction is at arm's length. In an exchange filing, it stated that neither its promoters nor any members of the promoter group have an interest in the awarding authority, and the deal does not classify as a related-party transaction.

Management Commentary

Jose Jacob, Chairman and Managing Director of Antony Waste Handling Cell Ltd, commented on the development, stating that the project marks a key step in expanding the company’s long-term municipal infrastructure portfolio. He emphasized that this contract strengthens the company's relationship with the Thane municipal authority. Jacob added that the win enhances long-term revenue visibility, which is in line with the company's overarching strategy of creating sustainable value for its stakeholders.

Summary of the Thane Project

A Pattern of Success: Recent Contract Wins

This contract from Thane comes shortly after another major win for the company. Last week, Antony Waste's material subsidiary, AG Enviro Infra Projects Pvt Ltd, secured two large municipal solid waste collection and transportation contracts from the Brihanmumbai Municipal Corporation (BMC). These two contracts have a combined value of approximately ₹1,330 crore and a tenure of seven years. The contracts were awarded to a consortium where AG Enviro holds a 51% majority stake, reinforcing the company's dominant position in the Mumbai metropolitan region.

Company Financial Performance

The recent contract wins are set against a backdrop of solid financial performance. For the second quarter of fiscal year 2026 (Q2 FY26), Antony Waste Handling Cell reported a 12.9% increase in consolidated net profit, which stood at ₹13.65 crore. During the same period, the company's revenue from operations grew by 16.5% to reach ₹257.65 crore compared to the corresponding quarter in the previous fiscal year. This steady growth highlights the company's operational efficiency and ability to scale its business model effectively.

Market Impact and Future Outlook

The acquisition of the Thane contract is a significant strategic achievement for Antony Waste. It diversifies the company's service portfolio beyond collection and transportation into the crucial area of waste processing and resource recovery. This move not only enhances revenue streams but also aligns the company with the growing national focus on sustainable waste management and circular economy principles. The positive market reaction, with the stock price surging nearly 8%, reflects investor confidence in the company's growth trajectory and its ability to secure and execute large-scale, long-term projects. With a strengthened order book and a clear strategy for expansion, Antony Waste is well-positioned to capitalize on future opportunities in India's expanding waste management sector.