IRCTC lists at 103% premium over issue price
14 October 2019
The initial public offer (IPO) of Indian Railway Catering and Tourism Corporation (IRCTC) made a strong stock market debut today, listing at Rs651 per share on the BSE, a premium of 103.4 per cent to its issue price of Rs320 per share.
The Rs645-crore initial public offer of IRCTC, which was open for subscription between 30 September and 4 October, was subscribed 112 times at a price band of Rs315-320 per share.
The stock hit a high of Rs698 per share intraday, up 118 per cent from its issue price.
At 10:57 AM, the IRCTC stock was trading 115 per cent up at Rs687.65 per share, while the benchmark Sensex was up 0.5 per cent at 38,312.
The IRCTC IPO comprised an offer-for-sale of 20.1 million shares of the face value of Rs10 each. Out of the total issue size, 1,60,000 equity shares are reserved for eligible employees.
The category meant for qualified institutional buyers (QIBs) was subscribed 108.79 times, non-institutional investors (NIIs) category witnessed a subscription of 354.52 times, while it was 14.65 times for retail investors.
IRCTC is the only entity authorised by Indian Railways to provide catering services to railways, online railway tickets and packaged drinking water at railway stations and trains in India.
Yes Securities (India), SBI Capital Markets and IDBI Capital Markets & Securities were the merchant bankers of the issue.