IRCTC Initial Public Offer Subscribed More Than Three Times On Day 2

IRCTC IPO subscription: Bids for 6.56 crore shares were received at the end of the second day, data from the NSE till 5:30 pm showed.

IRCTC Initial Public Offer Subscribed More Than Three Times On Day 2

Indian Railway Catering and Tourism Corporation (IRCTC) is the e-ticketing arm of the Indian Railways

Highlights

  • IRCTC plans to raise up to Rs 645 crore through public offer
  • Markets shut on Wednesday for Mahatma Gandhi Jayanti
  • October 3 last day to subscribe to IRCTC IPO

IRCTC's initial public offer (IPO) was subscribed more than three times at the end of Tuesday, its second day of issue. IRCTC or Indian Railway Catering and Tourism Corporation - the online ticketing arm of the Indian Railways - plans to raise up to Rs. 645 crore through the IPO, which opened for subscription on Monday and will close on Thursday, October 3. The financial markets remained shut on Wednesday, October 2 for Mahatma Gandhi Jayanti, trading will resume the next day. (Also read: Should You Invest In IRCTC IPO?)

IRCTC IPO Subscription Status

At the end of trade on Tuesday, bids for 6.56 crore shares were received as against the total 2.02 crore shares on offer under the IRCTC IPO, data from the National Stock Exchange till 5:30 pm showed. That marked a subscription of 325 per cent.

Here's all you need to know about the ongoing IRCTC IPO

Issue size: IRCTC is selling 2.01 crore shares under the IPO. At the upper end of the price band, the company is valued at Rs. 5,120 crore, and Rs. 5,040 crore at the lower end, according to brokerage Axis Capital.

Issue price: IRCTC has set an issue price of Rs. 315-Rs. 320 for the IPO. Half of the total shares on offer are reserved for qualified institutional investors, 35 per cent for retail investors and 15 per cent for non-institutional buyers.

Lot size: The IRCTC IPO can be subscribed to with a minimum of 40 shares, and in the multiples of 40 thereof. 

Shares reserved for staff: The IRCTC IPO comprises an offer for sale (OFS) of 2.01 crore shares, of which, 1.6 lakh are reserved for employees. 

Utilisation of proceeds: All proceeds from the IRCTC IPO will go directly to the selling shareholder. 

Company profile: State-run IRCTC is the only entity authorised by the Indian Railways to provide catering services to railways, online railway tickets, and packaged drinking water at railway stations and trains in India. Currently, IRCTC operates in four business segments: Internet Ticketing, Catering, Packaged Drinking Water and Travel and Tourism.

More on IRCTC IPO: The IRCTC IPO is the largest of all the railway offerings so far. There are three other listed entities associated with the Railways: Rail Vikas Nigam, Rail India Technical and Economic Service (RITES) and Indian Railway Construction Company (IRCON). 

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