RVNL stocks jump on securing LoA from Madhya Pradesh Metro Rail Corporation

RVNL zooms: Shares of state-owned company Rail Vikas Nigam Limited (RVNL) soared as much as 8.21 per cent to hit an intraday high of Rs 257.55 per share. The surge in stock came after the company secured a letter of acceptance (LoA) from Madhya Pradesh Metro Rail Corporation Limited (MPMRCL).

Under the contract, the company will be responsible for part design and construction of elevated viaduct, five elevated metro rail stations including Shaheed Bagh, Khajrana Chauraha, Bengali Chauraha, Patrakar Colony & Palasia Chauraha and ramp between chainages for Indore Metro Rail Project.

In an exchange filing, the company said, “It is hereby informed that RVNL-URC JV has received Letter of Acceptance (LoA) from Madhya Pradesh Metro Rail Corporation Limited (MPMRCL) for “Part Design and Construction of Elevated Viaduct, Five (5) Elevated Metro Rail Stations (viz. Shaheed Bagh, Khajrana Chauraha, Bengali Chauraha, Patrakar Colony & Palasia Chauraha) and Ramp between Chainages 31+755 to 34+898.061 & 3+669.547 to 5+862 for Indore Metro Rail Project.”

The state-owned railway company is required to execute the order within 1,092 days, the statement added.

Last week, the company secured a letter of award  from Himachal Pradesh State Electricity Board Limited for North Zone

Notably, the RVNL stocks are trading over 34 per cent lower from its 52-week high of Rs 345.60

As of 10:48 am, shares of the company were trading 4.45 per cent higher at Rs 248.60 per share.