Stock Market Today: RVNL share price gained in the intraday trades on Monday despite weak Indian markets. The company had announced receiving an order from South Central Railway on Friday, but after the market hours:
RVNL order book updates
Rail Vikas Nigam Limited, or RVNL, on 11 July post-market hours had announced receipt of a Letter of Acceptance (LOA) from South Central Railway. The Rail Vikas Nigam Ltd announced on the National Stock Exchange of India Ltd and the BSE, or the Bombay Stock Exchange, that it has received an LOA from South Central Railway for “Design, Supply, Erection, Testing, and Commissioning for OHE upgradation. The overhead equipment, or OHE, upgrade is to be done for the existing 1X25 kV system to 2X25 kV at the feeding system with feeder and earthing works. The OHE section upgrade is to be done by PVNL in the Duvvada-Rajahmundry & Samalkot-Kakinada Port section of Vijayawada Division under South Central Railway, totaling 195.5 RKM/391TKM.
While RKM stands for Route Kilometer, TKM stands for tonne-kilometer, a unit of measure of freight transport that represents the transport of one tonne of goods (including packaging and tare weights of intermodal transport units).
The broad consideration of this order stands at ₹213 crore for RVNL. As per the RVNL release, the cost of work is ₹213,224,854.62 ( ₹Two Hundred Thirteen Crore Twenty-Two Lakh Forty-Eight Thousand Five Hundred Forty-Six rupees and Sixty-Two paisa), including applicable taxes.
The order by South Central Railway for Design, Supply, Erection, Testing, and Commissioning for OHE upgradation is to be completed by RVNL within in 24 months.
RVNL share price movement
The RVNL share price that opened at ₹383.60 was slightly higher than the previous trading session’s closing price of ₹381.55. However, the RVNL share price gained to intraday highs of ₹385.15, which meant close to one percent gains despite weak Indian stock markets and on a day when the benchmark S&P BSE Sensex was down close to half a percent.
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