Rail Vikas Nigam Ltd

About the Company:

Rail Vikas Nigam Ltd (RVNL) is engaged in the business of executing all types of railway projects including new lines, doubling, gauge conversion, railway electrification, metro projects, workshops, major bridges, construction of cable stayed bridges, institution buildings etc.

RVNL is a wholly owned government company, a Miniratna (Category – I) Schedule ‘A’ Central Public Sector Enterprise, incorporated by the Ministry of Railways (“MoR”)

During the financial year ending March 31, 2018, we have completed a total of 885.50 rkm of project length which included 315.20 rkm of doubling and 425 rkm of railway electrification.

Company’s major client is the Indian Railways & other clients include various central and state government ministries, departments, and public sector undertakings.

Company has an order book of Rs.77,504.2 cr ($11 billion) as on December 31, 2018 which includes 102 ongoing projects.


Various activities undertaken by the Company:

New Rail lines: This includes augmenting the rail network by laying new lines. The objective of laying new lines includes achieving seamless multi-modal transportation network across the country and connecting remote areas. Current order book value for new line was Rs.30,763 cr.


Doubling of Rail Track: Doubling involves the provision of additional lines by way of doubling the existing routes to enable the Indian Railways to ease out traffic constraints of single line or construction of 3rd/4th line to increase the charted capacity.


Company is a significant contributor to the doubling projects and has been contributing to approximately one third of the total doubling being completed / commissioned on Indian Railways for the last three years. order book value for doubling was Rs.27,721 cr.


Gauge conversion: This includes conversion of meter gauge lines to broad gauge railway lines. Order book value for gauge conversion was Rs.1189 cr.


Railway Electrification: This includes electrification of current un-electrified rail network and electrification on the new rail network. order book value for railway electrification was Rs.3991 cr.


Metro Rail Projects: This includes setting up of metro lines and suburban network in metropolitan cities. Order book value for metro rail projects was Rs.9593 cr.


Workshops: This includes manufacturing facilities, and workshops for repairing and manufacturing rolling stock. Order book value for workshops was Rs.2618 cr.


Others railway Works: This includes but is not limited to construction of traffic facilities, railway safety works (building of sub-ways in lieu of crossings), other electrification works, training works, surveys, construction of bridges including rail over bridges, etc. order book value for other projects was Rs.1626 cr.


Segment wise Revenue: (in millions)


Competitors for the Company:

Competitors include companies like IRCON International Ltd,  RITES Limited and Konkan Railway Corporation Limited


Management Team:

  1. Mr. Pradeep Gaur (Designation: Chairman and Managing Director)
  2. Mr. Ajay Kumar (Designation: Director (Personnel)
  3. Mr. Vijay Anand (Designation: Director (Projects)


Financials of the Company: (Consolidated)

(in Crores) FY 15 FY 16 FY 17 FY 18 30th Sept 18
Revenue 3269.7 4720.3 6162.8 7822.2 3770.4
Net Profit 376.5 498.9 543.4 664.0 310.1


Valuation of Peer Group Companies:

Company Name Face Value EPS PE Ratio RoNW NAV
Rail Vikas Nigam Ltd 10 2.73 6.95 14.52% 18.83
IRCON International Ltd 10 42.13 9.50 10.98% 383.64
RITES Ltd 10 17.64 10.48 17.28% 102.60


IPO Details:

Details Info
Issue Opens on 29th March 2019
Issue Closes on:. 3rd April 2019
Issue Price Rs.17 – 19
Retail/ Employee Discount Rs.0.50 
Face Value Rs.10
Minimum Lot 780 Shares
Minimum Investment Rs.14,820
Issue Constitutes 12.16%
Issue Size Rs.481 cr ($68.8 million)
Market Cap Rs.3961 cr ($565 million)
Listing at NSE & BSE
Equity Shares Offered (OFS) 25,34,57,280
Equity Shares Prior to the Issue 208,50,20,100
Equity Shares after the Issue 208,50,20,100

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Important Dates:

Finalization of Basis of Allotment on or Before 8th April 2019
Initiation of Refunds on or Before 9th April 2019
Credit of Equity Shares: on or Before 9th April 2019
Listing Date: on or Before 11th April 2019


Subscription Details: (Will be Updated)


(Subscription-Category-Wise (no. of times) Till time : 06:00 PM) Shares Offered Day-1 Day-2 Day-3 Day-4
QIB 12,64,00,000 0.00 0.00 0.03 1.36
NII 3,79,20,000 0.02 0.03 0.15 0.80
Retail 8,84,80,000 0.24 0.50 1.25 2.87
Employee 6,57,280 0.16 0.48 0.90 2.11
TOTAL 25,34,57,280 0.09 0.18 0.48 1.80


IPO Valuation Parameters:

Earnings Per Share (EPS) Price To Earnings ratio (PE) Return on Net Worth (RoNW) Net Asset Value (NAV)
2.73 6.95 14.52% 18.83

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Company Contact Info:
Rail Vikas Nigam Limited
1st floor, August Kranti Bhawan
Bhikaji Cama Place,
R. K. Puram, New Delhi 110 066
Telephone: +91 11 2673 8299
Website: www.rvnl.org


IPO Registrar Info:
Address: 205-208, Anarkali Complex,
Jhandewalan Extension,
New Delhi – 110055, India
Telephone: +91 11 4254 1954/+91 22 4348 1293
Website: www.alankit.com