Dynacons Systems Share Price Rises 18% Following RBI Deal Value of ₹750.82 Crore

Dynacons Systems Share Price Surges 18% on RBI Order

On Tuesday, 5 May, the share price of Dynacons Systems surged by 18% following the announcement that the company secured an order valued at ₹750.82 crore from the Reserve Bank of India (RBI). The company notified the exchanges about the order on Monday, stating that the project entails the supply, installation, implementation, integration, maintenance, and facilities management services for the RBI's private cloud infrastructure for data centres.

The contract is set to be completed over 5 years, as stated in an exchange filing. The RBI is currently developing a new Greenfield Next Generation Data Centre (NGDC) in Bhubaneshwar, Odisha. The central bank aims to create a strong, scalable, and secure private cloud to accommodate current and future application and analytics workloads, including provisions for the separate integration of AI cloud capabilities.

The project encompasses the provisioning and deployment of servers, unified native storage, SAN switches, physical racks, and related software licenses. Dynacons Systems will handle the complete supply, design, installation, implementation, and integration with the RBI's current data centre framework, in addition to offering ongoing technical support adhering to established service levels. The work also entails maintenance, vulnerability management, updates, and continuous monitoring of the solution, in compliance with the agreed timelines and service standards.

Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data

According to Rajesh Bhosale, Equity Technical and Derivative Analyst at Angel One, the stock opened with a strong gap-up and sustained buying in today's session, gaining over 16%. He noted that the stock has delivered a range breakout on the weekly charts, indicating potential for further near-term upside, with prices possibly heading towards the ₹1,500 mark. However, Bhosale cautioned that given the sharp vertical rally, stop-loss levels would be relatively deep. He advised investors to maintain proper risk management for both existing and fresh long positions. He also highlighted that the bullish gap in the ₹1,200 zone is likely to act as immediate support.