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Rail stocks in heavy demand; soar up to 20%

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Press Trust of India New Delhi
Last Updated : Jul 24 2018 | 8:15 PM IST

Shares of companies related to the railways sector saw heavy demand, surging up to 20 per cent, amid reports of global tender for the supply of long rails opening today.

Texmaco Rail & Engineering soared 20 per cent to end at Rs 70.80 -- its upper circuit limit -- on BSE.

Shares of Titagarh Wagons jumped 19.96 per cent to settle at Rs 86.55 -- its upper circuit limit.

Also, Cimmco Ltd climbed 11.31 per cent, Hind Rectifiers 11.02 per cent and Commercial Engineers & Body Builders 8.08 per cent.

The Indian Railways' global tender worth Rs 2,500 crore for the supply of long rails was scheduled to open at 1500hrs today, according to sources in the railways ministry.

Seven foreign steel companies and Jindal Steel and Power Ltd (JSPL) have bid for the contract.

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Shares of Jindal Steel and Power also rose by 4.38 per cent to close at Rs 195.55. In intra-day, it surged 5.41 per cent to Rs 197.50.

This is the first time in three decades that rail procurement has been opened for the private sector.

The railways is looking at 4,000 km of track renewal in each of the two financial years --2018-19 and 2019-20.

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First Published: Jul 24 2018 | 8:15 PM IST

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