Shares of HBL Engineering Ltd gained 3% on Friday after the company secured railway contracts worth nearly ₹500 crore under the consortium ‘HBL-Shivakriti International Consortium’, with HBL as the lead member.

The company received two Letters of Acceptance (LoAs) for installing KAVACH (version 4.0)—India’s indigenous automatic train protection system—on key railway routes.

The first order, worth ₹244.68 crore, is for the Viramgam-Rajkot-Okha section of the Western Railway’s Rajkot Division and must be completed within 730 days from the appointed date.

The second contract, valued at ₹255 crore, is for the Dholpur-Bina section of the North Central Railway’s Jhansi Division, with a completion timeline of 700 days.

Together, these contracts total ₹499.68 crore, inclusive of 18% GST.

HBL Engineering shares opened higher at ₹468 on the BSE, touched an intraday high of ₹479.35, and ended 1.79% higher at ₹479.35 on Friday.

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HBL Engineering is among the few companies executing KAVACH orders for Indian Railways, alongside KEC International, Kernex Microsystems, RailTel, and Siemens.

KAVACH, developed by the Research Design and Standards Organisation (RDSO) with Indian industry partners, is an advanced safety system designed to prevent train collisions and enhance railway security.