RVNL Bags LoA For ₹192 Cr Order From South Eastern Railways

RVNL bagged a letter of acceptance from the South Eastern Railways.

What Happened: The order is for the design, supply, erection, testing, and commissioning of a 132-kilovolt traction substation, sectioning posts (SPs), and sub-sectioning posts (SSPs) in a 2×25 kilovolt system on the Rajkhaswan-Nayagarh-Bolani section of the Chakradharpur division of South Eastern Railway. This project aims to meet a 3000 MT loading target on an EPC (Engineering, Procurement, and Construction) mode.

The company was declared the lowest bidder for the order in June. The order is worth around ₹191.53 crore and is set to be completed in 18 months. 

See Also: Not RVNL Or IRCON, Nuvama Picks Titagarh, Texmaco As Winners Of Budget 2024

Shares of popular railway stocks like RVNL, and IRFC have been under pressure as the railway capex was kept unchanged from the interim budget. The street was pencilling in a hike in the allocation.

Earlier in the week, the district magistrate of Rudraprayag, Saurav Gaharwar, reportedly confirmed allegations against RVNL and its contractor, Megha Engineering for illegally dumping muck in a local water body.

Price Action: RVNL’s share price was up 0.58% to close at ₹593.75 on Wednesday.

Read Next: L&T’s Profit Jumps 12% To ₹2,786 Cr In Q1, Orderbook At ₹4.90 Lakh Cr

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Posted In: EquitiesNewsContractsMarketsRail Vikas Nigam