Rail wagon makers in demand; surge up to 20%

MUMBAI: Shares of railway wagon makers were in limelight today, gaining as much as 20 per cent, amid reports that the Railway Board has decided to release their allocations that were withheld earlier.

Shares of Cimmco surged 19.96 per cent, while Titagarh Wagaons by 10.96 per cent and Texmaco Rail by 4.49 per cent on the BSE.

Among other rail stocks, Kalindee Rail Nirman rose by 3.90 per cent and Kernex Microsystems was up 1.72 per cent.

According to media reports, the Railway board issued orders to wagon manufacturers informing them of the decision to release 50 per cent of their respective withheld allocations.

The allocations to individual manufacturers were made in April when 50 per cent was immediately ordered and the balance withheld.