ITI Ltd’s shares have soared 7.3 per cent as the company has signed a Rs 7,796 crore phase IV project of Army Static Switched Communication Network (Ascon) for deploying strategic network for secured communication across the country and subsequent maintenance for next 10 years. The ITI stock traded at Rs 129.35 apiece, up 3.4 per cent from the previous close, while the benchmark Sensex was up 0.5 per cent at 38908.05.
Ascon is the army’s telecom network spread across different terrains in the northern, north-eastern and western regions. The project is an IP MPLS-based communication network with microwave radio, satellite and optical fibre network as media. The project includes installation, commissioning and maintenance of telecom equipment like IP/MPLS routers, NMS, mobile nodes, test equipment and civil works for providing complete infrastructure at various sites and rollout of optical fibre network of about 11,000 kms.
The scope of the project also includes a warranty period of two years and maintenance support of the network for another eight years after the warranty.
ITI has reported a consolidated net loss of Rs 102.29 crore for the June quarter, higher than Rs 61.04 crore loss reported in the year-ago period. Consolidated net sales during April-June rose 2.5 per cent year-on-year to Rs 165.01 crore.