RailTel wins ₹29.84 crore SD-WAN LoA in 2026

Order win: SD-WAN project for AP power utility

RailTel Corporation of India said it has received a Letter of Acceptance (LoA) from Southern Power Distribution Company of Andhra Pradesh Limited (APSPDCL) for an SD-WAN implementation project. The contract value disclosed in the LoA is ₹29.83 crore, with the filing also referencing a rounded figure of about ₹29.84 crore. The project adds another government utility assignment to RailTel’s portfolio in networking and cybersecurity work.

The scope covers a full rollout approach, not only device supply but also installation and commissioning activities. RailTel’s mandate includes testing, configuration and user training, indicating that the utility is looking for an end-to-end deployment partner rather than a pure equipment supplier. The LoA describes a multi-year execution schedule running up to June 2031.

What RailTel will deliver under the LoA

As per the LoA description, RailTel will implement a Software Defined-Wide Area Network (SD-WAN) solution across APSPDCL’s infrastructure. The work includes supply, installation, testing and configuration of SD-WAN devices. The order also includes training, which typically becomes relevant when a customer shifts to centrally managed network operations.

Along with the networking layer, the scope includes supporting infrastructure and software entitlements. RailTel will provide necessary hardware and bandwidth licences and will also deploy cybersecurity components. The LoA explicitly mentions Intrusion Prevention Systems (IPS) and Intrusion Detection Systems (IDS) as part of the security solution stack.

Contract value and timelines

RailTel disclosed the total contract value as ₹29.83 crore, specifying the rupee figure of ₹29,83,50,503. The company also noted that the amount is “inclusive of applicable taxes” in the exchange filing. The project is scheduled to be executed by 23 June 2031.

The LoA receipt date cited in the filing is 24 June 2026. That makes the assignment a long-duration execution contract rather than a short delivery order, with deployment and related activities expected to span multiple years based on the stated completion date.

Non-related party confirmation and order classification

RailTel stated that this is a domestic order. It also disclosed that neither its promoters nor any group entities have an interest in the awarding authority. On that basis, the company classified the contract as not being a related-party transaction.

Such declarations are closely tracked in exchange disclosures, particularly for public sector and government-linked contracts, because they clarify governance and reduce ambiguity around counterparty relationships.

Why SD-WAN matters for utilities

The LoA indicates that APSPDCL is investing in network modernisation with SD-WAN technology. SD-WAN deployments are typically used to centralise network control, improve visibility across distributed locations, and streamline management across branch offices and operational sites. For power distribution utilities, wide-area connectivity is often spread across regional offices and field locations, which can make a centrally managed network architecture operationally relevant.

The project also includes IPS and IDS, signalling that the utility is pairing connectivity upgrades with added security controls. In practice, this combination is commonly used when organisations expand digital operations and want more consistent security policies across their network footprint.

How this order fits into RailTel’s recent flow of government work

The APSPDCL contract follows other government technology wins referenced alongside the announcement. The article text mentions a previous ₹42.63 crore order from NICSI for the National Knowledge Network, positioning RailTel as an active participant in public-sector network projects.

Separately, RailTel had announced on March 25, 2026 a work order from the State Crime Records Bureau in Bhopal. That contract was described as running until March 24, 2029 and included the supply, installation, testing and commissioning of an SD-WAN system plus three years of support.

The same context also cites ICRA ratings data indicating RailTel’s total order book at about ₹8,600 crore as of January 2026. While the APSPDCL contract value is smaller relative to that overall order book figure, it still extends RailTel’s presence in SD-WAN and security-led network work.

Related AP power utility deal: APCPDCL SD-WAN order

The provided text also references another Andhra Pradesh power distribution contract, this time from Andhra Pradesh Central Power Distribution Corporation Limited (APCPDCL). That order is stated as ₹27.04 crore (also described as Rs 270.4 million) and includes supply, installation, testing and configuration of SD-WAN equipment along with related hardware and software licences.

The APCPDCL order includes a five-year warranty and support period and was reported as scheduled for completion by January 24, 2031. The text also notes RailTel’s confirmation of no related-party involvement for that order as well.

Key facts at a glance

Market context mentioned alongside the disclosure

In a separate example cited in the text, RailTel’s stock closed near ₹268.80 on March 25, 2026 after the company announced the State Crime Records Bureau order from Bhopal. While that price reference is tied to a different contract announcement, it provides context on how the market has responded to order-flow disclosures in the recent past.

The current APSPDCL order adds another multi-year government utility deployment to RailTel’s pipeline. The value is clearly stated in the LoA, and the scope outlines both networking and security components, which are central themes in the company’s recent contract wins mentioned in the article.

Conclusion

RailTel’s ₹29.83 crore LoA from APSPDCL expands its SD-WAN and cybersecurity work with a long execution timeline running up to June 23, 2031. Investors will track further order inflows and subsequent execution updates through exchange filings as the project progresses.