RVNL shares surged 4% as PSU bags two major contracts

The consortium of technology and infrastructure-focused Siemens Limited and Rail Vikas Nigam Limited (RVNL) has bagged a contract worth Rs 394 crore from Bangalore Metro Rail Corporation Ltd (BMRC).

Siemens-RVNL Consortium has received a Letter of Acceptance from Bangalore Metro Rail Corporation Ltd. for " Engineering, Supply, Erection, Testing, and Commissioning of 33 KV Distribution, 750V DC Third Rail Traction Electrification including Traction Substations, Auxiliary Substations, and SCADA System for Phase-2A & Phase 2 B, as per the company made exchange filing.

The Time needed to execute the order is 130 weeks.

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The Broad consideration or size of the Cost of work is Rs 394 crore and the consortium of joint units consists ratio as Siemens Ltd (70%)- and RVNL (30%).

The shares of the Railway PSU are trading green on the Nifty index at Rs 390 per share, up by 4.29%.

Additionally, RVNL also emerged as the lowest bidder from Central Railway for “OHE modification work for up-gradation of existing 1 x 25 kV electric traction system to 2 x 25 kV AT feeding system in Amla-Nagpur Section in Nagpur division of Central Railway to meet 3000 MT loading target.”

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"The order, which is worth 138 crore, has to be executed within the next 24 months, the company informed the exchanges.

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