Ashoka Buildcon Share Price in Focus; Receives LoI from REC Power for Sakoli Transmission Project

Ashoka Buildcon Limited has received a Letter of Intent (LoI) from REC Power Development and Consultancy Limited for a transmission project in Bhandara district, Maharashtra.  

The company disclosed the LoI on August 13, 2026, through an exchange filing after submitting its bid for the project. 

Transmission Project 

The project involves establishing a 400/220/132 kV AIS Sakoli facility under the Tariff Based Competitive Bidding (TBCB) process. REC Power Development and Consultancy Limited is the entity awarding the contract. The company has classified the order as a domestic contract. 

24-Month Completion Period 

Ashoka Buildcon is required to complete the project within 24 months. After completion, the operation and maintenance period will run for 35 years, according to the details provided in the company’s filing. 

Annual Transmission Charges 

The filing puts the annual transmission charges at ₹1,265.37 million for 35 years. This is equivalent to about ₹126.54 crore a year. The disclosure gives the figure as the broad consideration or size of the contract. 

Performance Bank Guarantee 

One of the conditions of the LoI is the submission of a performance bank guarantee of ₹16.70 crore. Ashoka Buildcon has to provide the guarantee within 10 days from the date of issuance of the LoI. 

Other Details 

The company said the promoter, promoter group, and group companies have no applicable interest in the entity awarding the order. It also stated that the contract does not fall under related party transactions.  

Read More: Hindustan Aeronautics Share Price in Focus After Q1 FY27 Earnings Results: Total Income Up 15.3% YoY! 

Ashoka Buildcon Share Price Performance 

As of August 14, 2026, 11:21 am, Ashoka Buildcon share price was trading at ₹112.85, a 0.37% increase from the previous closing price. 

Conclusion 

The LoI covers the Sakoli transmission project, with 24 months set for completion and 35 years for operation and maintenance. Annual transmission charges have been stated at ₹1,265.37 million for the 35-year period. 

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