Rail Vikas Nigam ends 7% higher after signing MoU with NHAI for construction of Multi Modal Logistics Parks

The company and National Highways Logistics Management have agreed to collaborate with each other in achieving the objectives for the development of the MMLP Project in an integrated manner.

Sep 07, 2021 03:09 IST India Infoline News Service

Bull Market
Rail Vikas Nigam Limited (RVNL) has entered into a MoU with NHAI represented by National Highways Logistics Management Limited (NHLML), in connection with the Construction of Multi-Modal Logistics Parks across PAN India under Bharatmala Pariyojana.
The company's trade on Tuesday ended at Rs31.40 per piece up by Rs2.05 or 6.98% from its previous closing of Rs29.35 per piece on the BSE. The scrip opened at Rs29.40 and has touched a high and low of Rs32.35 and Rs29.30 respectively. 

The company said in a filing that given the objectives of improving logistics efficiency for goods generating and aggregating from ports, hinterland, and for the Country as a whole, RVNL and NHLML agreed to co-operate and collaborate with each other in achieving the objectives for the development of MMLP Project in an integrated manner.

The role of RVNL will be for the design, planning, feasibility study, DPR, implementation and commissioning of the track connectivity work for MMLPs.

Separate MoUs and Agreements shall be drawn at appropriate stage for each MMLP which are planned at 35 locations in the Country. The idea is to provide state-of-the-art, large-scale warehousing facilities for different type of commodities by forming project specific SPV(s) on a “Hub and Spoke Model”. This umbrella MoU shall be valid for five years and is extendable, it said.

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