Synopsis:
In a significant market development, Adani Infra (India) Ltd., a wholly owned subsidiary of Adani Enterprises, has acquired a substantial stake in PSP Projects, a leading construction and engineering company.
Adani Infra purchased an additional 21.83% stake, equivalent to 86.55 lakh shares, in this construction stock through a block deal worth Rs. 553.92 crore, priced at Rs. 640 per share. Simultaneously, promoter Prahaladbhai Patel offloaded 24.47% stake for approximately Rs. 619.9 crore on the BSE, marking a major reshuffle in the company’s ownership structure.
With market capitalization of Rs. 2791 cr, the shares of PSP Projects Ltd are currently trading at Rs. 703.70 per share, increased by nearly 13% today, making a high of Rs. 723.95 per share from its previous closing of 641.40 per share.
News
Shares of PSP Projects plunged 15.52% on Monday, closing at Rs. 641.40, despite broader market gains. The sharp fall came on the back of a massive bulk deal in which Adani Infra (India) acquired 86.55 lakh shares at Rs. 640 per share, while promoter Prahaladbhai Shivrambhai Patel sold 91 lakh shares at Rs. 640.01 per share.
The stock had touched a 52-week high of Rs. 842.50 on July 17, 2025, and a 52-week low of Rs. 566.50 on October 25, 2024. PSP Projects maintained a strong order book of Rs. 6,514 crore, marking an 11% YoY increase, with 27% linked to Adani Group projects and the rest from other clients.
The company cited a 37% labour shortage in April to May 2025 but remains optimistic, expecting improvement starting August 2025. Rising employee costs, which is now 6.8% of total expenses, up from the usual 4–5% were attributed to new hires for Adani-related orders. The management reaffirmed confidence in navigating current challenges through strategic hiring and continued execution of its strong order pipeline.
About the company
PSP Projects Limited is a construction company incorporated in August 2008 offering a diversified range of construction and allied services across industrial, institutional, government, government residential, and residential projects in India. The principal promoter, Mr. Prahalad S. Patel has over three decades of experience in the construction industry. It is also engaged in the real estate development of two mid-scale projects in the USA through its subsidiaries.
Financials
In Q1 FY26, PSP Projects reported a weak set of numbers with revenue falling 17% year-on-year to Rs. 518 crore from Rs. 623 crore in Q1 FY25. EBIDT declined sharply by 66% to Rs. 24.8 crore compared to Rs. 74 crore a year ago.
Net profit plummeted 99% to just Rs. 0.42 crore, down from Rs. 34.7 crore, while earnings per share (EPS) also fell 99% to Rs. 0.11 from Rs. 8.75 in the same period last year, reflecting significant operational and profitability pressure.
Written by Manideep Appana
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