HBL Engineering has recently informed exchanges that the company received a Letter of Acceptance from the Western Railway for the provision of the Kavach system across various locations. The contract involves the installation of the Kavach system across 48 stations, covering a total distance of 428 kilometers. This project is valued at Rs. 145.83 crores, which includes an 18% GST.
The contract stipulates a completion time of 730 days, offering a clear timeline for HBL Engineering to deliver the project. This award highlights the company’s capabilities in railway safety and technological solutions, specifically in the implementation of Kavach, a train collision avoidance system.
This order has been granted to HBL Engineering Limited, a domestic entity, with no involvement of international parties. The terms of the contract are straightforward, with no specific stipulations or complexities beyond the agreed timelines and financials.
There are no related party transactions involved in this contract. The promoters of HBL Engineering do not have any direct interest in the transaction, ensuring a transparent process. Additionally, the contract is not classified as a related party transaction, confirming that it is conducted at arm’s length.
