- Sterlite Technologies’ shares hit 5% upper circuit after securing a $1.2B US contract
- The supply order is for optical products for AI data centre infrastructure through FY29
- Sterlite Tech shares surged over 550% in the last 12 months and 300% year-to-date
Multibagger Sterlite Technologies Ltd's shares have hit the 5% upper circuit after the company's subsidiary secured a more than Rs 10,000 crore supply order from a US-based ‘hyperscale' partner, as per an exchange filing. The company said that the contract will run through FY29 and involve supplying optical connectivity products for artificial intelligence data centre infrastructure in the United States.
Sterlite Tech shares have surged over 550% in the past 12 months, and over 300% year-to-date.
The announcement prompted CLSA to sharply raise its target price on the stock by 60% to Rs 655 from Rs 405, while maintaining its Outperform rating. CLSA described the contract as a major validation for Sterlite's AI data centre optical products business and said the deal could drive a 49% EBITDA CAGR over the coming years.
Sterlite has increasingly positioned itself around high-capacity fibre and optical connectivity solutions as AI infrastructure spending accelerates globally. The company recently launched its Celesta IBR cable series featuring up to 6,912 fibres, aimed at large-scale AI and cloud infrastructure deployments.
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