RITES shares rise over 2% on MoU with Damodar Valley Corporation for project management consultancy

Shares of state-owned RITES Ltd gained more than 2% a day after the company announced signing a Memorandum of Understanding (MoU) with Damodar Valley Corporation (DVC) for rail infrastructure works.

In a filing to the stock exchanges on Wednesday, the Indian Railways public sector undertaking (PSU) said that it has signed an MoU with DVC on April 23, 2024, "RITES Ltd, a prime transport infrastructure consultancy, today signed an MoU with Damodar Valley Corporation (DVC), a statutory body under the Ministry of Power, to collaborate for project management consultancy for rail infra works," the company informed the stock exchanges.

The collaboration aims at finding novel infrastructure solutions for the upgradation, renovation, and development of rail connectivity for power plants and surrounding areas.

"As part of this partnership, RITES will be working closely with DVC for development of rail infrastructure facilities and associated civil, structural, S&T, OHE works," the exchange filing mentioned.

The company in February 2024, also collaborated with AD Ports Group to drive growth in logistics infrastructure development. The MoU aims at mutual engagement with the objective of exploring potential opportunities for cooperation for working together in the upcoming IMEEC and the areas of infrastructure development of ports, multimodal logistic parks, and rail connectivity projects, among others.

RITES Limited, a Navratna PSU under the Railway Ministry, is a leading player in the transport consultancy and engineering sector in India. The public sector infrastructure project consultancy firm has undertaken projects in over 55 countries in its49 years of journey. It provides a range of services in all aspects of transport infrastructure and related technologies.

Shares of RITES closed at 1.56% higher at ₹685 apiece on the NSE, with day high of 692 per share.