RVNL Bags Rs.115.79 Cr Railway Contract to Boost Freight System in Maharashtra

Rail Vikas Nigam Limited (RVNL), a public sector company under the Ministry of Railways, has won a new contract from Central Railway. The contract is worth Rs.115.79 crore and aims to improve the electric traction system in Maharashtra. This project will help in carrying more goods by trains and improve efficiency.

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The new system will replace the current 1×25 KV electric system with a more powerful 2×25 KV Auto Transformer (AT) system. This change will happen in the Itarsi–Amla section of the Nagpur Division and is expected to take 24 months to complete.

RVNL said that this upgrade will allow freight trains to carry up to 3,000 metric tonnes (MT), which will help increase the railway's capacity for transporting goods. The company received an official Letter of Acceptance (LOA) for this project.

The total value of the project, including taxes, is Rs.115,79,37,241.11. RVNL confirmed this update through a filing with the stock exchange.

On Thursday, RVNL shares went up by 0.83% and closed at Rs.375.90. The market value of the company is around Rs.78,375 crore. Although the stock is down by 10.46% in the past six months, it has given strong returns over the years—211% in two years and 1110.63% in three years.

RVNL was started in 2003 and works as the construction arm of Indian Railways. It plays a major role in improving India’s railway infrastructure and capacity.

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