RVNL shares in focus on winning Rs 178.64 cr project from IRCON International

Rail Vikas Nigam Ltd (RVNL) shares will likely be in the spotlight on Tuesday, May 20, as the company has emerged as the Lowest Bidder (L1) from IRCON International for a significant contract worth Rs 178.64 crore.

The contract involves the supply, installation, testing, and commissioning of signalling, telecommunications, and Electronic Interlocking (EI) systems at 10 new stations, including Surakachhar, Block Cabin, Katghora Road, Bhingra, Putuwa, Matin, Sendurgarh, Putipakhana, Dhangawan, and Bhadi.

Additionally, the project encompasses the installation of six new IBS sections in the Bhingra-Putuwa, Putuwa-Matin, Sendurgarh-Putipakhana, Putipakhana-Bhadi, Bhadi Dhangawan, and Dhangawan-Pendra Road block sections.

Further, the contract also includes setting up a new Section Control System with headquarters, commissioning new Telephone Exchange systems, and EIMWB installations across designated locations.

The project is scheduled for completion within 11 months, including the monsoon period, under general contract conditions. The awarded contract is classified as a domestic entity transaction and does not fall under related party transactions.

RVNL has confirmed that the work is part of its normal course of business, with no promoter or promoter group interest in the awarding entity, IRCON International.

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RVNL share price history

Over the past year, the shares of RVNL have increased by 43.83%. Year-to-date (YTD), the gain stands at 0.75%. Over the last 6 months, there has been a slight decline of 0.20%. In the past 3 months, the price has risen by 14.25%, while the 1-month change shows a gain of 16.28%.

On Monday, the shares of RVNL closed 5.2% higher at Rs 431 on the BSE.

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