Concord Control Systems Limited has announced the provision of a corporate guarantee worth ₹25 crores to facilitate banking facilities for its wholly owned subsidiary. The guarantee has been issued in favour of Yes Bank Limited to help Advanced Rail Controls Private Limited secure working capital and other short-term banking facilities.

Corporate Guarantee Details

The company disclosed the guarantee arrangement through a regulatory filing dated February 25, 2026, in compliance with SEBI listing obligations. The guarantee structure and key parameters are outlined below:

Regulatory Compliance and Disclosure

The disclosure was made pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, specifically under Para B of Part A of Schedule III. The filing also references SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/1/3762/2026 dated January 30, 2026, which governs such guarantee disclosures.

Financial Impact Assessment

Concord Control Systems has clarified that the guarantee is provided on behalf of Advanced Rail Controls Private Limited, which forms part of the consolidated group. The company stated that currently there is no impact of this guarantee other than its disclosure in the financial statements as a contingent liability.

Promoter Interest and Transaction Nature

The company confirmed that promoters, promoter group, or group companies do not have any interest in this transaction except to the extent of their shareholding in Advanced Rail Controls Private Limited. Since Advanced Rail Controls is a wholly owned subsidiary of Concord Control Systems, the transaction remains within the consolidated group structure.

The guarantee arrangement enables the subsidiary to access necessary banking facilities while maintaining the parent company's support for its operations and working capital requirements.

Concord Control Systems has secured a substantial contract worth ₹185.09 crores from Indian Railways for the implementation of the Kavach 4.0 system through its associate company Progota India Private Limited. The company announced this major business development through a regulatory filing, highlighting the significant order for railway safety technology solutions with comprehensive management commentary on the strategic importance of this contract.

Contract Details and Structure

The comprehensive contract has been awarded through Progota India Private Limited, an associate company of Concord Control Systems, demonstrating the group's strategic approach to railway technology projects:

Project Scope and Advanced Technology Integration

The order encompasses a complete range of services for the Kavach 4.0 implementation, focusing on India's indigenous Automatic Train Protection (ATP) system. Kavach 4.0 is designed to enhance rail safety by preventing collisions, over-speeding, and signal violations, integrating advanced digital technologies to strengthen operational efficiency and passenger safety across the railway network.

Key project components include:

• Supply of on-board Kavach 4.0 locomotive equipment
• Installation of the railway safety system
• Comprehensive testing procedures
• Commissioning of the complete system

Management Commentary and Strategic Vision

Mr. Gaurav Lath, Joint Managing Director, emphasized the significance of this contract: "This significant order is a strong validation of our technological expertise, execution capabilities, and long-standing partnership with Indian Railways. At Concord, we are deeply committed to strengthening India's railway safety ecosystem through indigenous, future-ready solutions."

Mr. Nitin Jain, Joint Managing Director, added: "We are honoured to receive this additional KAVACH 4.0 order from Indian Railways, which reflects the strong confidence placed in Concord's technological capabilities and execution strength. This continued mandate reinforces our position as a trusted partner in India's railway safety modernization programme."

Company Profile and Market Position

Concord Control Systems Limited is India's leading manufacturer of embedded electronics systems and critical electronic solutions supporting next-generation rail infrastructure. As an RDSO-approved OEM and technology leader, the company delivers advanced electrical and electronic systems for Indian Railways, aligned with the government's Gati Shakti initiative.

This landmark order further strengthens the company's position as a key contributor to India's railway modernization and safety initiatives, creating long-term value for stakeholders while supporting the development of a technologically advanced transport ecosystem.