Finance Ministry on Wednesday gave its approval to upgrade Rail Vikas Nigam Limited (RVNL) to Navratna Central Public Sector Enterprise (CPSE). RVNL, a public sector undertaking under the Ministry of Railways, will be the 13th Navratna amongst CPSEs.

Share Market Live

NSE

Hon'ble Finance Minister has approved the upgradation of RVNL to Navratna CPSE. RVNL will be the 13th Navratna amongst the CPSEs. RVNL is a Ministry of Railways CPSE with an annual turnover of Rs 19381 crores and net profit of Rs 1087 crores for the years 2021-22. @RailVikas

— Department of Public Enterprises (@DPE_GoI) April 26, 2023

Also Read: Rail Vikas Nigam joint venture secures project worth Rs 1,271 crore

RVNL is currently categorised as a Miniratna Central Public Sector Enterprise. Incorporated in 2003, RVNL is engaged in the planning, development, and implementation of railway infrastructure projects. The discussions regarding the upgrade to Navratna status was initiated on the back of multiple orders that RVNL recently won from the National Highway Authority of India (NHAI) and the Railways.

RVNL's director of operations Rajesh Prasad had earlier told CNBC-TV18 that the company's order book was projected to reach between Rs 75,000 crore and Rs 1 lakh crore in FY24, with 20 percent of the orders being obtained through bidding.

The stocks of RVNL hit its 52-week highest mark of Rs 114.62 on BSE on Wednesday. In the last one-week period, the stocks of the RVNL jumped 39.84 percent in the last four sessions, and 58 percent in the past one month. It has gained 202.59 percent in the past one years.

The shares of RVNL have been gaining in the past few sessions, especially after the automation giant Siemens in a consortium with RVNL received two orders from Gujarat Metro Rail Corporation Ltd (GMRCL) last week. The two separate orders awarded to the Siemens-RVNL consortium are for Surat Metro Phase 1 and Ahmedabad Metro Phase 2.

Earlier this month, RVNL emerged as the lowest bidder for a Mumbai Metropolitan Region Development Authority (MMRDA) project worth Rs 378 crore.

Also Read: Rail Vikas Nigam shares surge 20% to hit fresh 52-week high

(Edited by : Pradeep John)

First Published:Apr 26, 2023 5:55 PM IST