Railway Stock Rockets 8% After Bagging Multiple Orders

RVNL‘s share price shot up sharply on Monday morning going up over 8% to hit an intraday high of ₹258.

What Happened: Over the weekend, the railway major announced bagging several orders. The company has secured orders from Himachal Pradesh State Electricity Board Ltd and Madhya Pradesh PoorvKshetra Vidyut Vitaran Company Ltd, Jabalpur.

For the Madhya Pradesh project, RVNL will be responsible for the supply, installation, testing, and commissioning of various 11 KV line-associated works in Jabalpur city. These include tasks such as 11 KV Line Bifurcation, Interconnection, conductor Augmentation, and LT AB cabling augmentation, among others. The contract spans 24 months and is valued at over ₹251 crore.

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Additionally, RVNL has received two letters of award from Himachal Pradesh State Electricity Board Ltd for developing distribution infrastructure in the South and North zones of Himachal Pradesh. These projects are part of the revamped reforms-based and results-linked distribution sector scheme. The estimated costs for the South and North zone projects are approximately ₹888 crore and ₹410 crore, respectively.

The company has also received a letter of acceptance from Madhya Pradesh Metro Rail Corporation
Limited. The ₹543 crore order is won by a joint venture between RVNL and URC. RVNL’s share of the JV is 51%.

Price Action: RVNL’s share price was up 5.59% to trade at ₹251.25 as the markets opened on Monday.

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