RVNL shares rise 4% as firm becomes lowest bidder for Rs 543-crore Indore Metro Rail project

Shares of state-run Rail Vikas Nigam Ltd (RVNL) rose over 4% today after the railway firm said its joint venture with URC emerged as the lowest bidder (L1) for part design and construction of an elevated viaduct, five elevated metro rail stations, and a ramp between chainages for the Indore metro rail project. The project is worth Rs 543 crore. RVNL owns 51 percent share in the joint venture and the balance 49 percent by URC.

RVNL shares rose 4.12% to Rs 185.60 on Tuesday against the previous close of Rs 178.25 on BSE. Total 10.75 lakh shares of RVNL changed hands amounting to a turnover of Rs 19.58 crore crore. Market cap of RVNL rose to Rs 37,634 crore on BSE. RVNL shares have a one-year beta of 1.1, indicating high volatility during the period.

In terms of technicals, the relative strength index (RSI) of RVNL stands at 68.6, signaling it's trading neither in the overbought nor in the oversold zone. Rail Vikas Nigam shares are trading higher than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages.

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Additionally, the project includes the construction of a ramp between chainages — all crucial components contributing to the progress of the Indore Metro Rail infrastructure. The timeline for the execution of this substantial order is set at 1,092 days.

Shares of Rail Vikas Nigam Ltd ended 4.12% higher at Rs 178.25 on Monday.

RVNL is an executing arm of Indian Railways and works for and on behalf of the ministry for projects assigned to it for execution. It works on a turnkey basis and undertakes the full cycle of project development from conceptualisation to commissioning including stages of design, preparation of estimates, calling and award of contracts, project and contract management.

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