Shares of Rail Vikas Nigam Limited (RVNL) surged nearly 2% in early trading on January 3 following the successful acquisition of a 49% stake in the Rs 123.36-crore Varkala Sivagiri project. At 10:07 am, RVNL’s stock was trading at ₹185.35, marking a 2.52% increase on the NSE.
The KRDCL-RVNL joint venture has received approval for a substantial upgrade to the Varkala Sivagiri railway station, with a project cost of Rs 123.36 crore. In this collaboration, KRDCL holds the majority with a 51% share, while RVNL possesses the remaining 49%. The execution of the order is slated for completion within 30 months, according to an official filing by RVNL with the exchange.
In a separate disclosure to the BSE on January 2, Rail Vikas Nigam announced a contract signing with REC. Under this agreement, RVNL will present financially viable projects with assured or projected revenue/returns. REC, in turn, will explore direct financing options for these projects, adhering to predetermined conditions and returns. This strategic partnership between Rail Vikas Nigam and REC aims to enhance railway infrastructure and financial efficiency, representing a significant step forward in the strategic development of the railway sector through collaborative efforts.
