RailTel shares in focus as Navratna PSU wins MMRDA contract; key details

Shares of RailTel Corporation of India Ltd are in focus on Thursday after the Navratna PSU announced securing a work order from the Mumbai Metropolitan Region Development Authority (MMRDA).

In a regulatory filing submitted to the bourses post-market hours on Wednesday, the state-run telecom infrastructure provider disclosed that it has received a work order valued at Rs 48.77 crore (excluding tax).

The contract entails the selection of a System Integrator (SI) for the design, development, and implementation of a Regional Information System for the Mumbai Metropolitan Region. The scope also includes setting up an urban observatory at the MMRDA in Mumbai.

According to the disclosure the project is time-bound and is slated to be executed by December 28, 2027.

On Wednesday, RailTel shares closed 1.31 per cent lower at Rs 331.50 on the BSE, slipping from the previous close of Rs 335.90. The scrip has remained under pressure throughout the calendar year, currently trading nearly 18 per cent down year-to-date.

The company has maintained a steady flow of order wins. This latest MMRDA contract builds upon order inflows in the previous month. In November, RailTel secured work orders, taking its total announced value for the month to Rs 111.99 crore. This included key mandates from the state governments of Gujarat and Uttar Pradesh.