Azad Engineering Shares At Record After Signing Rolls-Royce Contract

Shares of Azad Engineering Ltd. surged over 10% to a record high on Monday after it signed a long-term contract with Rolls-Royce Plc.

The company signed a seven-year contract with Rolls-Royce for production and supply of engine parts on Monday, an exchange filing said. The order includes production and supply of critical engine parts for the defence and military aircraft engines produced by Rolls-Royce.

Azad Engineering was listed on the NSE on Dec. 28, 2023, at Rs 720 apiece with a 37.40% premium over its IPO price. It listed on the BSE at Rs 710, a 35.50% premium.

Shares of Azad Engineering jumped 10.32% before paring gains to trade 7.82% higher at 12:43 p.m., compared to a 1.57% advance in the NSE Nifty 50.

The stock has risen 7.6% since listing. Total traded volume so far in the day stood at 2.2 times its 30-day average. The relative strength index was at 80, indicating it was overbought.