IRFC IPO sees over subscription of 3.47 times; Retail portion booked 3.63 times

Indian Railway Finance Corporation saw an oversubscription on the final day of its fresh issue. The company’s IPO opened on January 18, 2021, the first IPO to hit the domestic markets this year.

The company raised Rs1,390cr through its anchor investors at the price band Rs25-26.

In the Qualified Institutional Buyers category, the company saw an oversubscription of 3.78 times, while the non-institutional segment saw an oversubscription of 2.66 times.

And Retail investors oversubscribed to the issue by 3.63 times.

IRFC plans to utilise the fresh proceeds for augmenting the equity capital base to meet the future capital requirements arising out of growth in the business and general corporate purposes.

While the company’s reported Grey Market Premium is low, it managed to see an oversubscription on the final day as opposed to underrscription on day one of the issue.

The company’s shares will be listed on both NSE and BSE, and are expected to be listed on January 29, 2021.

Further, Market Participants are requested to note that Bidding Session for IRFC has been extended till 8.00 pm for Retail ( Individual ) Category.