IRCON

, RVNL merger proposal: Stocks rally on reports of Railways’ consolidation plan; exchanges seek clarification

IRCON International Ltd.'s share price surged 12.7 per cent on Friday to trade higher at Rs 150 apiece. Meanwhile, Rail Vikas Nigam surged 6.8 per cent to hit an intraday high of 298 apiece. The surge in stock prices came on the heels of media reports claiming that the Ministry of Railways is considering a major consolidation of its infrastructure arms, proposing a merger between IRCON and Rail Vikas Nigam. The exchanges have, however, sought a response from both the Navratna Public Sector Undertakings on the media reports. Since both IRCON and RVNL are publicly listed on the BSE and NSE, any proposed merger between the two PSUs would likely be executed through a share‑swap arrangement for their shareholders.