Patel Engineering, RVNL shares surge up to 7% after MoU on joint project execution

Shares of smallcap firm Patel Engineering Ltd and PSU Rail Vikas Nigam Ltd (RVNL) surged up to 7 per cent in Friday’s trade, as the companies formed a strategic partnership aimed at jointly executing hydro and other infrastructure projects within India and internationally. RVNL shares also gained on bagging a Rs 202.87 crore order.

Patel Engineering climbed 6.99 per cent to hit a high of Rs 57.39 on BSE. This stock is still a bit away from its 52-week high of Rs 79 hit on February 6. RVNL shares jumped 3.53 per cent to hit a high of Rs 599.75.

The agreement outlined a framework for collaboration between the two companies to leverage each other’s strengths and capabilities in pursuing hydro and other infrastructure projects. Under this MOU, both parties will explore opportunities to work together in various capacities.

“The two parties have the flexibility to participate in tenders and project bids either jointly or separately. When bidding together, both entities will align on the bidding strategy, structure, and terms of the collaboration, ensuring a unified approach to project execution,” Patel Engineering said.

Meanwhile, RVNL said it has bagged a Rs 202.87 crore order for designing, supplying, erecting, testing and commissioning a 132 KV traction substation on Kharagpur-Bhadrak division of South Eastern Railway. The order is expected to be executed over the next 18 months.