The shares of Rail Vikas Nigam Ltd (RVNL) were trading at ₹401.25, up by ₹29.35 or 7.89 per cent on the NSE at 11 am today.

Rail Vikas Nigam Ltd (RVNL) has received a Letter of Acceptance from Bharat Sanchar Nigam Limited (BSNL) for the development and maintenance of BharatNet’s middle mile network. The contract, valued at ₹3,622.14 crore, was announced on January 15, 2025.

The project will be executed under a Design Build Operate and Maintain (DBOM) model, with RVNL serving as the lead member in a consortium that includes HFCL and ATS. The scope of work encompasses creation, upgradation, and maintenance of the network infrastructure.

The contract timeline is structured in two phases: a three-year construction period followed by a 10-year maintenance contract. The maintenance phase includes a fee structure of 5.5 per cent per annum of capex for the first five years, increasing to 6.5 per cent for the subsequent five years.

The company confirmed that this project falls within its normal course of business and does not involve any related party transactions.