Kernex Microsystems has entered into a joint venture with Bharat Heavy Engineering to develop advanced signalling solutions, including a Moving Block System integrated with Automatic Train Supervision (ATS) and Automatic Train Operation (ATO) on the Kavach platform, along with Centralised Traffic Control (CTC).
Kernex will hold a 51% stake in the JV, while Bharat Heavy Engineering will own 49%, with the shareholding subject to change based on project scope.
The broader momentum comes as Indian Railways continues to step up investments in safety and communication infrastructure. The national transporter has approved projects worth ₹1,364.45 crore, including deployment of Kavach systems, expansion of optical fibre cable networks, and replacement of legacy signalling systems.
As part of this push, Kavach equipment will be installed on 232 locomotives in the Southern Railway at a cost of ₹208.81 crore under the larger ₹27,693 crore umbrella programme. A ₹2,950 crore allocation has been earmarked for the zone, including deployment of Kavach Version 4.0.
In Northern Railway, projects worth ₹400.86 crore have been cleared to strengthen communication infrastructure, including large-scale optical fibre cable deployment across Ambala, Delhi and Lucknow divisions. Similarly, North Central Railway will see OFC deployment across 2,196 route kilometres at a cost of ₹176.77 crore.
In South Central Railway, projects worth ₹578.02 crore have been approved to replace panel interlocking systems with electronic interlocking across 49 stations.
Companies linked to the Kavach ecosystem are already seeing strong traction. HBL Engineering reported orders worth ₹1,375.36 crore during the quarter for Kavach equipment. KEC International had earlier indicated that it secured three TCAS orders year-to-date in partnership with its JV partner.
