Indian Railway Finance Corporation IPO opens today

Much awaited initial public offer for shares of Indian Railway Finance Corporation (IRFC) opened today. The shares are priced in the band of Rs 25 to Rs 26 per equity share of face value of Rs 10 each. The issue will close on January 20, 2021.

Share sale of up to 1,782,069,000 equity shares will include a fresh issue of up to 1,188,046,000 equity shares and an offer for sale of up to 594,023,000 equity shares by the President of India.

Bids can be made for a minimum of 575 Equity Shares and in multiples of 575 Equity Shares thereafter.

Not less than 35% of the Net Issue shall be available for allocation to Retail Individual Bidders in accordance with the SEBI ICDR Regulations, subject to valid Bids being received at or above the Issue Price.

The Net Proceeds from the Fresh Issue are proposed to be utilised for (i) augmenting the equity capital base of the Company to meet their future capital requirements arising out of growth in their business; and for (ii) general corporate purposes.

The Equity Shares offered in the Issue are proposed to be listed at BSE and the National Stock Exchange of India Limited (NSE).

DAM Capital Advisors Limited (formerly known as IDFC Securities Limited), HSBC Securities and Capital Markets (India) Private Limited, ICICI Securities Limited and SBI Capital Markets Limited are the Book Running Lead Managers to the Issue.