Interpipe wins tender for wheel sales in Ukraine
Ukraine’s largest pipe and railway wheel producer Interpipe (INTHOL) won a tender for supplying about 4.1 kt of wheels to Ukrainian Railways (RAILUA), according to a July 28 disclosure in the ProZorro e-procurement system.
Interpipe NTRP offered to supply the wheels for the total of about USD 9.7 mln (excl. VAT). The wheels will be supplied by the end of 2021, according to the tender documentation.
The price for wheels to be sold in relation to this tender is about USD 2,400/t, or 57% higher than the average price achieved by Interpipe for all its railway product sales in 1Q21, USD 1,529/t, according to Concorde Capital calculations.
Recall, earlier in June, Interpipe won another Ukrainian Railways tender for supplying about 1.75 kt of wheels at the same price of about USD 2,400/t.
Dmytro Khoroshun: The price realized by Interpipe at this tender is high, which is positive, but the volume is small (about 10% of the 39 kt of railway products sold by the company in 1Q21).