EPC Contract for Smart Manufacturing Hub at RAKEZ, UAE Concluded

GHV Infra informed BSE that the EPC contract for the Erisha Smart Manufacturing Hub at RAKEZ, Ras Al Khaimah (UAE), held by its wholly owned subsidiary GHV Infra FZ-LLC with Rana Exim FZ-LLC.

Sun 27 Sep 2026

Contract Status

EPC contract concluded as of 2nd week of September 2026

Project Location

Erisha Smart Manufacturing Hub at RAKEZ, Ras Al Khaimah, UAE

Employer

Rana Exim FZ-LLC

Contractor Entity

GHV Infra FZ-LLC (wholly owned subsidiary)

Suspension Notice Date

August 17, 2026

What was shared

GHV Infra Projects made a disclosure under Regulation 30 of SEBI LODR relating to conclusion of a contract, referring back to its earlier communication dated August 02, 2025.

The contract in question is the EPC Contract for the Erisha Smart Manufacturing Hub at RAKEZ, Ras Al Khaimah, UAE, between Rana Exim FZ-LLC (employer) and GHV Infra FZ-LLC, a wholly owned subsidiary of the company. The nature of the contract is EPC for development of a Smart Manufacturing Hub. It stands concluded as of the 2nd week of September 2026.

Reasons given by the company

• Project and Master Plan approval from RAKEZ was to be obtained by the employer by January 31, 2026, but got inordinately delayed.
• By end February 2026, the war in West Asia started and continues, leaving risk of payments and commercial issues with the employer.
• Master Plan approval was still pending even after 13 month from the date of LOA, with uncertainty on design and engineering and lack of proof of the employer's financial arrangements.
• GHV's deployed resources continued to incur costs without corresponding construction activity.

Sequence of events

• GHV issued a notice of suspension of works on August 17, 2026 for material default of not sharing the financial arrangement as per FIDIC contract provisions, and asked the employer for a payment guarantee given the war situation.
• Discussions continued but issues could not be resolved and the employer did not rectify the default.
• GHV suspended all project activities during the 2nd week of September 2026, until the employer furnishes the financial arrangement to meet its obligations under the contract.
• Almost one year elapsed with Master Plan approval still pending; the EPC contract is concluded as of the 2nd week of September 2026.

Financial impact

The company states that the financial impact cannot be assessed as of now and that further disclosure will be made as and when the impact can be quantified.

How investors may read it

The conclusion of an overseas EPC contract removes a project from the subsidiary's execution pipeline, and the company itself points to cost incurred without construction activity as well as payment risk from the employer. Since no amount has been quantified, the extent of the effect on the company's order book or earnings remains to be disclosed.

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