RVNL Stock Rises Over 7% On Rs 203 Cr Order From South Eastern Railway

The stocks of Rail Vikas Nigam (RVNL) rose over 7 per cent in the Wednesday trading session after the PSU firm emerged as the lowest bidder for South Eastern Railway. 

RVNL Stock traded at Rs 581 with 7.14 per cent gain in the morning session on the National Stock Exchange (NSE). 

RVNL will design, supply, erect, test and commission certain power systems on the Kharagpur-Bhadrak section of the Kharagpur division of South Eastern Railway.

The contract is for a 132 KV Traction Substation, Sectioning post (SPs), and Sub sectioning post (SSPs) in 2x25KV System on the Kharagpur-Bhadrak section of the Kharagpur division, the company informed stock exchanges in a filing.

The contract, worth about Rs 203 crore, is expected to be completed in 18 months.

Separately, the Delhi Metro Rail Corporation (DMRC) and RVNL signed a Memorandum of Understanding (MoU) this month to collaborate and jointly work as a project service provider for design, construction and consultancy projects in India and abroad.

Last month, RVNL also won a contract worth Rs 191.53 crore from the South Eastern Railway.

Early last month, the state-owned company received a Letter of Acceptance from Eastern Railway for the construction of the by-pass line in Sitarampur under its Asansol Division for Rs 391 crore.

RVNL, under the Ministry of Railways, was granted 'Navratna' status last year. The Navratna companies have the autonomy to invest up to Rs 1,000 crore without seeking approval from the central government.

Rail Vikas Nigam's shares have risen around 220 per cent in 2024. Over the past 12 months, they rose around 350 per cent.