IRCTC IPO opens: All you need to know about the Rs 645-crore issue

IPO size: Rs 645 crore

Govt stake sale: 12.6%

The government is selling 12.6% stake or 2.01 crore equity shares (20 million shares) which will bring down its stake to 87.4%.

 

IRCTC shares are available in a price band of Rs 315 to Rs 320 per equity share.

Of the total shares on offer, 50% will be available for allocation to qualified institutional buyers (QIBs), including 2 lakh equity shares for the mutual fund portion on a proportionate basis. Another 15% of the offer is allocated to non-institutional investor category and 35% will be made available to the retail category. Additionally, there's a discount of Rs 10 per share for retail category and eligible employees.

The tentative date for listing of IRCTC shares on BSE and NSE is October 14.

The lot size or minimum order quantity in the IPO is 40. At the effective price band of Rs 305-310 per share after taking into account discount of Rs 10 per share, retail investors have to spend Rs 12,200-12,400 per one lot.

Estimated market cap: Rs 5,120 crore

Post listing, the market capitalisation of the government-owned firm is pegged at Rs 5,120 crore at the higher end of price band.

FY 19 net profit up 24%, revenue up 25%

Total revenue growth increased 25% y-o-y to Rs 1,956.5 crore for fiscal ended March 2019 compared with Rs 1,569.5 crore earned for fiscal ended March 2018. Profit after tax growth also rose 23.6% year-on-year to Rs 272.5 crore as of March 2019 against Rs 220.6 crore booked during the same period last year. Its sales rose 25% year-on-year to Rs 1,899 crore, as per the draft red herring prospectus filed with Sebi in August.