RailTel files draft papers for Rs 700-cr IPO

By: |
October 2, 2020 4:51 PM

The initial public offer (IPO) is entirely an offer-for-sale through which government will offload 8.66 crore equity shares, draft papers filed with Sebi showed.

In December 2018, the Cabinet had approved IPO of RailTel Corporation for diluting up to 25 per cent government stake.In December 2018, the Cabinet had approved IPO of RailTel Corporation for diluting up to 25 per cent government stake.

State-owned RailTel Corporation of India Ltd has filed draft papers with capital markets regulator Sebi to raise Rs 700 crore through an initial share-sale. The initial public offer (IPO) is entirely an offer-for-sale through which government will offload 8.66 crore equity shares, draft papers filed with Sebi showed.

According to merchant banking sources, the IPO is estimated to fetch Rs 700 crore. The miniratna PSU is one of the largest neutral telecom infrastructure providers in the country, owning an optical fibre network on exclusive Right of Way (RoW) along the railway track.

The company provides broadband telecom and multimedia network across the country. As on June 30, 2020, its optical fibre network covers over 55,000 kms and 5,677 railway stations across towns and cities in the country. ICICI Securities, IDBI Capital, SBI Capital Markets Ltd are merchant bankers to the issue.

In December 2018, the Cabinet had approved IPO of RailTel Corporation for diluting up to 25 per cent government stake.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1SevenHills Healthcare RP seeks fresh resolution plans
2Malabar Gold & Diamonds to add 9 stores in India & abroad at Rs 240 crore
3We have recast loans worth Rs 600 crore: LV Prabhakar, MD & CEO, Canara Bank