RailTel Share Price Surge 6% After Securing ₹16.8 Crore Defence Order

RailTel Corporation of India saw its shares jump 6.2% on the BSE, reaching an intraday high of ₹316. The stock gained momentum after the company won a ₹16.89 crore order from the Ministry of Defence for laying optical fibre cable (OFC).

RailTel’s Latest Order from the Defence Ministry

RailTel has received a work order from the Ministry of Defence to lay OFC, a project valued at approximately ₹16.89 crore, including taxes. This contract adds to RailTel’s growing portfolio of government projects.

Stock Performance and Market Capitalisation

As of 9:53 AM, RailTel share price was up 4.89% at ₹311.9 on the BSE, while the Sensex gained 0.24% to 76,532.46. The company’s market capitalisation stood at ₹10,013.28 crore. The stock has a 52-week high of ₹618 and a 52-week low of ₹265.3.

Recent ₹288 Crore Order from Indian Railways

RailTel recently secured a ₹288 crore contract from East Central Railway. The project involves implementing Kavach, an Indigenous Train Collision Avoidance System, on a 502.2 RKm low-density railway track.

RailTel’s Role in Modernising Railway Communications

Established in 2000 as a public sector enterprise under the Ministry of Railways, RailTel plays a key role in modernising railway communication and expanding broadband services in India. Its services include:

• Providing broadband connectivity in urban and rural areas
• Offering mission-critical solutions like video surveillance and e-office services
• Deploying Wi-Fi and on-demand content at major railway stations
• Upgrading networks to improve railway operations and administration

Contributions to Major Government Projects

RailTel has also been involved in large-scale government initiatives, such as:

• Bharat Net (enhancing rural broadband connectivity)
• National Knowledge Network (connecting research and education institutions)
• Optical fibre connectivity in the North East

Stock Performance Over the Last Year

Despite securing multiple government projects, RailTel’s share price has declined 17% in the past year, while the Sensex has gained 5%. Investors remain watchful as the company continues to expand its presence in telecom and railway modernisation projects.

Conclusion

RailTel’s growing list of government contracts, including railway modernisation and telecom projects, strengthens its position in the industry. Despite recent stock volatility, its long-term prospects remain strong. Investors are closely watching for further developments.

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