RVNL Gains 6% After Emerging As The Lowest Bidder For A ₹968-Crore Railway Project

RVNL₹304.60 +3.64%

Rail Vikas Nigam Ltd. (RVNL) surged 6.11% to reach an intraday high of ₹311.85 apiece on Friday. At 11:50 AM, its shares were trading at ₹304.65 apiece. This happened after it emerged as the lowest bidder for an East Coast Railway Order worth ₹968 crore.

The company will undertake work on the third and fourth line between Nergundi-Barang (spanning 22 km) and Khurda Road-Vizianagaram (spanning 363 km) on Bhadrak-Vizianagaram section of 385 km. It will also undertake construction of key bridges over Birupra, Mahanadi and Kathjori on EPC basis over a period of three years.

This order came days after RVNL secured three contracts worth nearly ₹2,000 crore from NMDC Ltd. in February, for expanding its construction portfolio in Chattisgarh.

RVNL’s CRISP Analysis: