Shares of Titagarh Rail Systems, Jupiter Wagons and Texmaco Rail and Engineering rallied sharply on Monday after reports suggested that Indian Railways is preparing a massive freight wagon procurement programme worth nearly Rs 40,000 crore.
As of 2:15 pm, Jupiter Wagons Ltd. was trading at Rs 294.15, up 6.21% from its previous close, after rising as much as 9.73%. Meanwhile, Titagarh Rail Systems Ltd. was trading at Rs 823.90, gaining 8.79% during the session, having hit a high of 9.34%.
According to media reports, Indian Railways is expected to issue a tender for around 1 lakh freight wagons over the next three to four years, with annual procurement likely to range between 35,000 and 40,000 wagons.
The first batch of orders could reportedly be issued during the July-September quarter of the current financial year.
The proposed procurement exercise is expected to be slightly larger than the previous major wagon tender floated in 2022, raising expectations of another multi-year order cycle for domestic wagon manufacturers.
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