Concord Control Systems Limited (BSE: CNCRD), one of India’s leading manufacturers of embedded electronic systems and critical electronic solutions, has announced a strategic move to strengthen its presence in the railway automation sector. The company’s Board of Directors has approved an additional investment to acquire up to 46.5% equity in Progota India Private Limited, a specialist in railway automation and Kavach Automatic Train Protection (ATP) systems.

This investment aims to accelerate the commercialisation and nationwide deployment of Kavach 4.0, India’s flagship Automatic Train Protection solution designed to enhance rail safety by preventing collisions through automatic control of train speed and signal compliance.

Founded in 2021, Progota India focuses on scientific and technological services in railway automation, with a strong R&D foundation and ongoing pilot projects for Indian Railways. The company’s growing order book highlights the rising demand for Kavach ATP systems from major railway zones.

The acquisition is expected to create significant synergies by combining Concord’s manufacturing and system integration expertise with Progota’s R&D capabilities, enabling faster institutionalisation and scaling within India’s expanding rail-safety market.

The move comes at a time when Indian Railways is targeting the deployment of Kavach technology on 10,000 locomotives and across 34,000 route kilometers within the next six years — one of the world’s largest ATP rollouts. With strong government support and increasing tender activity, the demand for Kavach systems is projected to remain robust, providing long-term growth visibility for technology suppliers.