CG Power Share Price Declines Over 2%; Its Arm Loses Key Railway Supply Order

CG Power and Industrial Solutions has said that its unit, GG Tronics India (GGT), has lost a railway supply order because it could not start deliveries within the required time. The order came from Indian Railways, and the cancellation was communicated on November 24, 2025. The company stated that supplies did not begin due to pending approvals. 

Requirements of the Contract 

The order was issued in November 2024 by Chittaranjan Locomotive Works (CLW). It asked GGT to supply Loco Kavach systems under the Developmental Category. To supply these systems, the company had to finish product development, clear an Independent Safety Assessment (ISA) and secure final approval from the Research Designs and Standards Organisation (RDSO) for Version 4.0 of the system. The delivery period was set at 12 months and linked to these clearances. 

Approvals Not Issued 

GGT said that its Universal Braking Algorithm, a key part of the Version 4.0 system, has moved through development and has been tested in the field. However, without ISA and RDSO approvals, the company could not begin supplying the equipment. As the deadline passed without deliveries, the contract was cancelled. CG Power said both approval processes are currently in the final stages. 

Although the order has been withdrawn, GGT can still participate in future railway tenders under the same category. The company expects that once approvals are received, it will be able to take part in bulk procurement rounds for Version 4.0 systems that include the braking algorithm it has developed. 

Company Profile and Operations 

GG Tronics is a 22-year-old entity focused on safety and signalling equipment for railways, including digital axle counters, Kavach/IRATPS systems and other certified products. Its parent, CG Power and Industrial Solutions, manufactures traction equipment, transformers, motors, relays and industrial drives. The firm also entered semiconductor work through an OSAT facility and a separate design arm. CG Power operates 18 factories in India and one in Sweden. 

CG Power & Industrial Solutions Share Price Performance  

As of November 24, 2025, at 12:32 pm, CG Power and Industrial Solutions share price was trading at ₹692.05, a 2.56% decline over the previous closing price. 

Read More: Oyo Assets Raises ₹125 Crore Led by InCred to Boost Hotel Acquisitions Across India! 

Conclusion 

The missed delivery timeline has cost GGT a railway order, but the company remains eligible for upcoming tenders once mandatory approvals are completed. 

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