Texmaco Rail & Engineering Limited disclosed the execution of a Memorandum of Understanding (MoU) with The Signalling Company NV (TSC), Belgium on 10th August, 2026. The disclosure is made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and SEBI Master Circular HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated 30th January, 2026.

Key Details of MoU

  • Parties: Texmaco Rail & Engineering Limited and The Signalling Company NV (TSC), Belgium
  • Purpose: To establish a strategic collaboration regarding European Train Control System (ETCS) solutions, specifically including the development of Kavach for the Indian market
  • Agreement Type: Memorandum of Understanding (non-binding)
  • Shareholding: No shareholding exists between the parties
  • Related Party Status: TSC is not related to the promoter, promoter group, or group companies of Texmaco Rail
  • Transaction Type: Does not constitute a related party transaction

Significant Terms

  • The MoU records the parties' mutual intention to explore strategic collaboration in ETCS solutions
  • The collaboration specifically includes the purpose of contemplated Kavach development for the Indian market
  • Parties have agreed to negotiate in good faith the terms of a definitive agreement
  • Execution of definitive agreement is subject to mutual negotiations and requisite approvals of respective managements
  • No issuance of shares contemplated under the MoU
  • No loan or financing arrangements involved
  • No nominee director rights, conflict of interest arrangements, or governance rights have been agreed
  • The MoU is non-equity in nature and does not create any joint venture or partnership

Commercial Terms

  • The commercial terms shall be agreed under the definitive agreement, which is proposed to be executed in future
  • No financial size or value has been determined or disclosed in the MoU

Next Steps

  • Parties intend to negotiate and execute a definitive agreement for the collaboration
  • Any definitive agreement will be subject to mutual negotiations and management approvals