Titagarh Rail Systems to Form Joint Venture for Vande Bharat Train Maintenance, Provides Guarantee for Subsidiary
Titagarh Rail Systems Ltd. announced on March 19, 2026, the formation of a joint venture company with Bharat Heavy Electricals Limited (BHEL) as a special purpose vehicle for maintenance obligations of Vande Bharat Trains. This initiative is part of a consortium agreement with the Ministry of Railways, Government of India (GOI), and aligns with the “Make-in-India” and “Atma Nirbhar Bharat” programs. Umesh Chowdhary, Vice Chairman and Managing Director of Titagarh Rail Systems, is authorized to finalize the joint venture agreement and nominate a representative.Separately, the Board approved providing a corporate guarantee in favor of Oil and Natural Gas Corporation Ltd. (ONGC) to support Titagarh Naval Systems Limited, a wholly-owned subsidiary, in bidding for a tender floated by ONGC.
Here's a summary of the guarantee details:
| Particulars | Details |
|---|---|
| Name of party for which such guarantees or indemnity or surety was given. | Titagarh Naval Systems Limited |
| Whether the promoter/ promoter group/ group companies have any interest in this transaction? If yes, nature of interest and details thereof and whether the same is done at 'arm's length' | Titagarh Naval Systems Limited is Wholly Owned Subsidiary of the Company. None of the Promoters or Members of the Promoters Group or Directors of the Company are interested. The transaction is at an Arm's Length basis . |
| Brief details of such guarantee or indemnity or becoming a surety viz. brief details of agreement entered (if any) including significant terms and conditions, including amount of guarantee | The Company will furnish Corporate Guarantee in favor of Oil and Natural Gas Corporation Ltd for bidding in tender, by Titagarh Naval Systems Limited. |
| Impact of such guarantees or indemnity or surety on listed entity | The said guarantees are provided on behalf of the Wholly Owned Subsidiary of the Company. At this point, there is no impact of the said guarantees on the Company. |
The Board meeting commenced at 2:30 P.M. and concluded at 3:00 P.M.
Source:
Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
The information provided is for general informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Readers are advised to rely on their own assessment and judgment and consult appropriate financial advisers, if required, before taking any investment-related decisions.
Last edited by a moderator: