Railtel’s offer will comprise of 8.71 crore shares of face value of Rs 10 each.
(Photo: AFP)
Central Public Sector Enterprise, RailTel Corporation of India Ltd will sell shares at Rs 93 to Rs 94 apiece in its initial public offering (IPO)that will open on February 16, and end on February 18.
Railtel’s offer will comprise of 8.71 crore shares of face value of Rs 10 each.
“The offer will comprise up to 87,153,369 equity shares of face value of Rs 10 each and the offer will be a complete offer for sale by the Government of India. The company will not be directly receiving any proceeds from the offer and all the offer proceeds will be received by the selling shareholder,” said a company statement.
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The anchor investor bidding date has been fixed on February 15.
Company’s maiden offer follows the listing of Indian Railway Finance Corp Ltd. on exchanges last month.
It is worth mentioning that Railtel is set to be the sixth railway company to go public. These six other companies are-IRCON International Ltd., RITES Ltd., Rail Vikas Nigam Ltd. and Indian Railway Catering and Tourism Corp.
The qualified institutional buyers (QIB) portion of the net offer shall be not more than 50 per cent. Further, not less than 35 per cent of the net offer shall be available for allocation to retail individual bidders, while not less than 15 per cent of the net offer shall be available for allocation on a proportionate basis to non-institutional bidders.
ICICI Securities Ltd, IDBI Capital Markets & Securities Ltd and SBI Capital Markets Ltd are the book running lead managers (BRLM) to the offer.
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