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RVNL shares climb 5% as co emerges as lowest bidder for 2 projects

RVNL shares climb 5% as co emerges as lowest bidder for 2 projects

RVNL said its consortium emerged as lowest bidder for similar work for Ahmedabad Metro Rail Project Phase-II. The cost of the first project would be Rs 673.80 crore and second project Rs 384.30 crore.

RVNL shares rose 4.9 per cent to hit a high of Rs 78.10 on BSE. The scrip has jumped 11 per cent in the last one month and is up 150 per cent in the last six months. RVNL shares rose 4.9 per cent to hit a high of Rs 78.10 on BSE. The scrip has jumped 11 per cent in the last one month and is up 150 per cent in the last six months.

Shares of Rail Vikas Nigam (RVNL) climbed 4 per cent in Wednesday's trade after the company consortium with Siemens India emerged as lowest bidders for two projects. In a filing to BSE, RVNL said it has emerged as lowest bidder (L1) for supply, erection, testing and commissioning of power supply receiving & distribution system, 750V DC third rail traction electrification and Scada system for Surat Metro Rail Project Phase-I.

Besides, the company said its consortium emerged as lowest bidder for similar work for Ahmedabad Metro Rail Project Phase-II. The cost of the first project would be Rs 673.80 crore and second project Rs 384.30 crore.

Following the development, the stock rose 4.9 per cent to hit a high of Rs 78.10 on BSE. The scrip has jumped 11 per cent in the last one month and is up 150 per cent in the last six months.

Siemens is the lead partner in the projects with 65 per cent share with RVNL having 35 per cent share. The letter of award is yet to be issued by Gujarat Metro Rail Corporation.

Last week, the company recently received LOA for a 15-month project from Southern Railway, whose cost was Rs 38.97 crore, including GST. It also received LOA January 10 for construction of elevated viaduct of approximately 10 km in length), including nine elevated metro stations at Sholinganallur Lake-I, Sri Ponniamman Temple (Sholinganallur Lake-II), Sathyabama University (Semmeancheri-I), Semmeancheri-II, Gandhi Nagar, Navallur, Siruseri, Siruseri SIPCOT-1 and Siruseri SIPCOT-2 and Stabling Viaduct at SIPCOT'.

The accepted contract amount is Rs. 1,134 crore, including GST and provisional sum.

PVNL is in the business of executing all types of railway projects including new lines, doubling, gauge conversion, railway electrification, metro projects, workshops, major bridges, construction of cable stayed bridges, institution buildings etc.

It generally works on a turnkey basis and undertake the full cycle of project development from conceptualisation to commissioning including stages of design, preparation of estimates, calling and award of contracts, project and contract management, etc. and all stages of project execution upto the stage of commissioning of the new railway lines.

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Published on: Jan 18, 2023, 9:59 AM IST
Posted by: Tarab Zaidi, Jan 18, 2023, 9:55 AM IST