Midcap PSU Stock Surges Over 4% After Company Signs Contract With Sri Lanka Railways

Public Sector Undertaking (PSU) firm Ircon International Limited on Friday, Sept 22, 2023, jumped more than 4% following the announced of a contract agreement with Sri Lanka Railways, Ministry of Transport, Sri Lanka for approximately Rs 122 Crore under Indian Line of Credit.

The company has signed a contract with the respective authority for the work of procurement of the Design, Installation, Testing, Commissioning, and Certifying of the Signalling and Telecommunication system from Maho Junction (Including) to Anuradhapura (Excluding).

According to the regulatory filing by the Board of Directors of Ircon International Limited, "Pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulation, 2015, and in continuation to our letter of even no. dated 6th December, 2022, it is to inform that Ircon International Limited has executed the contract agreement with Sri Lanka Railways, Ministry of Transport, Sri Lanka for the work of procurement of Design, Installation, Testing, Commissioning and Certifying of Signalling and Telecommunication system from Maho Junction (Including) to Anuradhapura (Excluding) under Indian Line of Credit at a total price of USD 14.89 Million equivalent to approx. INR 122 Crore on 21st September, 2023."

Ircon International Limited's shares on Friday rallied 4.12% to close at Rs 141.45 apiece on the BSE. The stock has declined 3.12% in the last 1 week, while it gained 28,65% in the last 1 month. It has given 160.50% multibagger return in the last 6 months. It has given 250.12% multibagger return in the past 1 year. It has given 224.43% strong return in 2 years, and 246.44% robust return in 3 years.

The stock touched a 52-week high on Sept 12, 2023, at Rs 174.55 apiece and a 52-week low on Sept 26, 2022, at Rs 38.60 apiece on the BSE.

Ircon International Limited is a civil construction sector public sector company that commenced its business in 1976 as a railway construction company. It is a midcap company with a market cap of Rs 13,303.60 Crore.