Bharat Heavy Electricals Ltd (BHEL) has secured a major order valued at approximately Rs 26 billion from MB Power (Madhya Pradesh) Ltd for the supply of critical equipment to a thermal power project.

The order pertains to a 1x800 MW supercritical technology-based power unit at Anuppur in Madhya Pradesh. As per the exchange filing made on Wednesday, BHEL will be responsible for supplying the boiler, turbine, and generator package required for the project.

The manufacturing of the boiler and turbine generator will take place at BHEL’s facilities in Tiruchirappalli and Haridwar, respectively. The timeline for the supply and execution of the equipment has been set at 58 months.

Ahead of the announcement, BHEL shares closed 0.72 per cent higher at Rs 216.97 apiece on the National Stock Exchange, outperforming the benchmark Nifty, which rose by 0.55 per cent. Despite the recent uptick, BHEL’s stock has seen a decline of 24.23 per cent over the past year and 5.42 per cent on a year-to-date basis.

Analyst sentiment remains mixed: of the 19 analysts tracking the company, eight maintain a ‘buy’ rating, another eight recommend ‘sell’, and three suggest ‘hold’. Bloomberg data shows that the average 12-month target price implies a potential downside of 24.1 per cent.