LIVE TV
ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Budget 2021
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Jobs
  • Indian Railways
  • World
    • Economy
    • Politics
    • Markets
  • videos
  • photos
  • Authors
  • More ...
    • VIDEOS
    • PHOTOS
Read in App
Business News » Markets News

IRFC IPO: Want to know launch date, share price band, lot size? Big confirmation from CMD Indian Railway Finance Corporation

It's a big news for those eager to know about launch date, share price band, lot size and other details of Indian Railway Finance Corporation (IRFC) initial public offering (IPO)! 

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
IRFC IPO: Want to know launch date, share price band, lot size? Big confirmation from CMD Indian Railway Finance Corporation
In January 2020, IRFC filed draft papers for its IPO. Pic from IRFC website
Written By: Prashant Singh
Updated: Sun, Dec 06, 2020
04:58 pm
ZeeBiz WebDesk
RELATED NEWS
RailTel Corporation makes strong debut on bourses RailTel Corporation makes strong debut on bourses
MTAR Technologies IPO date: Issue opens on March 3, 2021 I Details here highlighted by Axis Securities MTAR Technologies IPO date: Issue opens on March 3, 2021 I Details here highlighted by Axis Securities
RailTel share price soars 27%; Steller listing, exceeds expectations RailTel share price soars 27%; Steller listing, exceeds expectations
 Railtel IPO strategy with Anil Singhvi: Share price rises 5 pct on debut today Railtel IPO strategy with Anil Singhvi: Share price rises 5 pct on debut today
RailTel IPO listing date: Share price jumps 16% above issue price on market debut RailTel IPO listing date: Share price jumps 16% above issue price on market debut

It's a big news for those eager to know about launch date, share price band, lot size and other details of Indian Railway Finance Corporation (IRFC) initial public offering (IPO)! Reportedly, IRFC IPO of about Rs 4,600 crore is likely to hit the markets later this month. This will be the first IPO by a railway NBFC (Non-Banking Financial Company).

In January 2020, IRFC filed draft papers for its IPO.

The issue is of up to 178.20 crore shares, comprising a fresh issue of up to 118.80 crore shares and offer for sale of up to 59.40 crore shares by the government, according to the draft prospectus.

The book running lead managers to the issue are DAM Capital Advisors, HSBC Securities and Capital Markets, ICICI Securities and SBI Capital Markets.

The company's principal business is to borrow funds from the financial markets to finance acquisition/ creation of assets which are then leased out to the Indian Railways.

The Union Cabinet had in April 2017 approved listing of five railway companies. Four of them -- IRCON International Ltd, RITES Ltd, Rail Vikas Nigam Ltd and Indian Railway Catering and Tourism Corp -- have already been listed.

According to a latest confirmation by Amitabh Banerjee, Chairman and Managing Director, IRFC, as per a report in PTI, "In all probability, it (IPO) will be by the third week but, if the market is not okay then we can go to the first or second week of January also. The company, the dedicated financing arm of the Indian Railways, will be going for the anchor investment also."  

"The government is planning to have anchor investors in place for this IPO," he added. On reasons for bringing the anchor portion, the CMD said it is a confident market and the anchor investors would be assured of the fact that they will be able to get the desired proportion of issuance without regular bidding. "They will be able to get the amount that they want to invest in IRFC without going for the bidding route. Also, it will give a lot of confidence to other investors in the market who are sitting on the fence," he said.

On plans to utilise the funds mopped up from the offer, the CMD added that 10 per cent of the IPO proceeds will go to the company's balance sheet and that will increase its net worth and this the firm will be using for raising more money from the market. He said this will add to the company's capability to explore the market further and garner more funds from the market which is the order of the day because the government is in need of funds for its capex expansion outlay requirements. "Therefore, 10 per cent will come to my balance sheet and 5 per cent will go to the government of India's exchequer," he added. 

Banerjee said the prospect for having a good IPO is "very much bright". "Everyone (domestic and foreign investors) has a lot of interest in this particular issue," he said. "Indian Railway Finance Corporation happens to be one of the safest havens as far as investors are concerned," he added.
Banerjee is hopeful that the IPO will be one of the landmark issuances of the fiscal. "I hope that it will be one of the landmark issuances in this fiscal which augurs well for the other issuances that are coming forward for the government of India in this fiscal," the CMD said.

One of the purposes of the IPO is to unlock the value that the company has built over so many years of its existence. "We have already traversed a period of 34 years since its inception in 1986. So, it will unlock the value of the company, it will bring in better corporate governance norms in the organisation which is extremely necessary in any public sector company. "That will bring in more transparency in the working of the company," he said. 

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
IPOIndian Rail Finance Corporation (IRFC)MarketsIndian Railways
RELATED NEWS
RailTel Corporation makes strong debut on bourses RailTel Corporation makes strong debut on bourses
MTAR Technologies IPO date: Issue opens on March 3, 2021 I Details here highlighted by Axis Securities MTAR Technologies IPO date: Issue opens on March 3, 2021 I Details here highlighted by Axis Securities
RailTel share price soars 27%; Steller listing, exceeds expectations RailTel share price soars 27%; Steller listing, exceeds expectations
 Railtel IPO strategy with Anil Singhvi: Share price rises 5 pct on debut today Railtel IPO strategy with Anil Singhvi: Share price rises 5 pct on debut today
RailTel IPO listing date: Share price jumps 16% above issue price on market debut RailTel IPO listing date: Share price jumps 16% above issue price on market debut

LATEST NEWS

Ind vs Eng: Jasprit Bumrah released from squad for fourth Test

IIT Bombay releases GATE 2021 answer key—This is how you can check and raise objection

Oil drops on dollar strength and OPEC+ supply expectations

West Bengal, Tamil Nadu, Kerala, Assam, Puducherry elections: Not just Voter ID, you can use any of these 11 ID proofs to cast vote

Stock Market Outlook: Nifty, Bank Nifty crucial levels REVEALED; Anil Singhvi explains key reasons behind massive fall

Govt sets 50 lakh users threshold to define 'significant social media intermediary' under IT rules

7th Pay Commission: CONFIRMED! 3% DA, DR hike for government employees, pensioners of THIS state from March 1

Sovereign Gold Bond Scheme 2021: Issue Price fixed at Rs 4,662/gm

Petrol, diesel prices on February 27: Fuel prices hiked again today—check rates in your cities

ISRO First Mission in 2021: Indian rocket to launch Brazilian satellite, PM Modi picture on spacecraft, space privatisation and more

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
Copyright © Zee Media Corporation Ltd. All rights reserved