KEC buys signalling co for Rs 14 crore

The RPG Group company, KEC International, has acquired Jay Railway Signaling, a railways signalling automation systems and technology company, for Rs 13.96 crore (enterprise value). Jay Signaling undertakes turnkey signalling contracts for the Railways.

This is a strategic acquisition for KEC as it enables the company to offer the entire range of services in railway infrastructure projects globally. To diversify its portfolio, KEC took a strategic decision to create a separate railway division and now it has a clear visibility of Rs 450 crore with orders of Rs 300 crore and L1 position in another Rs 150 crore.

The acquisition will help KEC pre-qualify for rail contracts. KEC is already into track electrification and civil works and has electrified over 5,000 km.