Olatech Solutions wins ₹44.99 crore telecom IT infrastructure turnkey project

Team Finance Saathi

    21/Apr/2025

What's covered under the Article:

  1. Olatech Solutions wins ₹449.9 million order for IT infrastructure from a reputed telecom client in India

  2. Project involves supply, installation, testing, and commissioning with AMC and O&M support for 10 years

  3. 50% of the project billing will be completed in FY2025-26, rest spread across 10 years

Olatech Solutions Limited, a notable player in the IT solutions sector, has announced a significant order win worth ₹44.99 crore (INR 449.9 million). The company has secured a turnkey project from a reputed client in the telecommunications domain, reinforcing its position in the Indian tech infrastructure space.

Details of the Project

As per the official disclosure, the contract involves Supply, Installation, Testing, and Commissioning (SITC) of IT Infrastructure. In addition to the initial installation, the project also covers Annual Maintenance Contract (AMC) and Operations & Maintenance (O&M) services for a duration of 10 years.

This means that Olatech Solutions will not only deploy the necessary IT hardware and systems but will also be responsible for their upkeep and operations over a long-term period. Such a contract structure ensures recurring revenue for the company and a sustainable relationship with the client.

The client awarding the contract is a domestic telecom entity, although their name has not been disclosed. This reflects growing trust in Olatech Solutions’ capabilities in executing long-term, large-scale IT infrastructure projects for high-profile clients.

Scope and Timeline of Execution

The project is divided into two key phases:

  • Phase 1: The SITC portion will be completed within 6 months. This phase involves establishing the core IT infrastructure.

  • Phase 2: AMC and O&M services will span over 10 years, ensuring continued engagement with the client.

In terms of financial structuring, approximately 50% of the project’s value will be billed in FY2025-26, indicating a strong revenue inflow for the company in the upcoming financial year. The remaining 50% will be billed over the next 10 years, contributing to long-term cash flow and business stability.

No Related Party Involvement

The company clarified that:

  • The awarding entity is not a related party.

  • The promoter, promoter group, or group companies have no interest in the awarding client.

  • Hence, the contract does not qualify as a related party transaction and is executed at arm’s length.

This transparency aligns with regulatory standards and enhances investor confidence in the governance practices followed by Olatech Solutions.

Strategic Importance of the Deal

This contract is a major strategic win for Olatech Solutions. Here’s why it stands out:

  • Long-Term Revenue Visibility: With a 10-year AMC and O&M component, the deal ensures consistent income beyond the installation phase.

  • Strong Client Portfolio: Winning a project from a reputed telecom player boosts the company's reputation in the competitive IT infrastructure market.

  • Scalability: Successful execution of this project can potentially open doors for similar deals with other telecom or large enterprise clients.

Additionally, the scope of this deal indicates Olatech's increasing expertise in end-to-end IT solutions — from physical installation to lifecycle support.

Market Context and Future Outlook

India's telecom sector is rapidly digitising, and there is increased investment in modern IT infrastructure to support 5G, cloud computing, and digital customer engagement. Companies like Olatech Solutions are strategically positioned to capitalise on this growth wave.

With this ₹44.99 crore project, the company is not just adding to its order book but also demonstrating capability to execute long-duration, high-value contracts, a quality that investors and institutional clients value highly.

This project also aligns with India’s broader Digital India mission, and the shift of telecom players towards digitally transformative infrastructure.

Conclusion

In summary, Olatech Solutions Limited has taken a significant step forward by clinching this ₹44.99 crore turnkey IT infrastructure project from a reputed domestic telecom client. The project includes comprehensive services from installation to maintenance over a decade, ensuring long-term revenue, client engagement, and operational growth.

Such deals not only provide financial stability but also enhance the strategic positioning of the company in the booming IT infrastructure sector in India.

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