State-owned Indian Railway Finance Corporation is coming out with an IPO on Jan 18, 2021 at a Price band of Rs.25 to Rs.26 per equity share for a face value of Rs.10 per equity share. The issue will remain till Jan 20, 2021. The Share of IFRC will get listed on both NSE and BSE. The book running lead managers to the issue are DAM Capital Advisors, HSBC Securities and Capital Markets (India), ICICI Securities and SBI Capital Markets.
IFRC was incorporated in 1986, as a public-sector enterprise that is wholly-owned by the Government of India. The Primary business for IRFC is financing the acquisition of rolling stock assets, leasing of railway infrastructure assets, and lending to entities under the Ministry of Railways (MoR). It acts as the borrowing arm of Indian Railways, IRFC is mainly responsible to raise funds for MoR which are required to not only to procure rolling stock assets like wagons, trucks, electric multiple units, locomotives, coaches, but also its improvement, expansion, and assets management.
IFRC follows a financial leasing model to finance rolling stock assets procurement for a lease period of 30 years. In fiscal 2019, the actual capital expenditures by the Indian Railways were Rs. 1,334 billion, out of which, IRFC financed Rs. 525.35 bn accounting for 39.34% expenditures.
Promoters or IFRC
The President of India acting through the Ministry of Railways (MoR) is the promoter of the company.Company Financials of IFRC
Summary of financial Information (Restated Consolidated)| Particulars | For the year/period ended (Rs in million) | |||
|---|---|---|---|---|
| 30-Sep-20 | 31-Mar-20 | 31-Mar-19 | 31-Mar-18 | |
| Total Assets | 29,19,865.81 | 27,55,041.29 | 20,64,382.95 | 16,14,510.41 |
| Total Revenue | 73,848.29 | 1,34,210.90 | 1,09,873.55 | 92,078.39 |
| Profit After Tax | 18,868.41 | 31,920.96 | 21,399.33 | 20,014.60 |
Important point for IRFC IPO
| IPO Opening Date | Jan 18, 2021 |
| IPO Closing Date | Jan 20, 2021 |
| Issue Type | Book Built Issue IPO |
| Face Value | ₹10 per equity share |
| IPO Price | ₹25 to ₹26 per equity share |
| Market Lot | 575 Shares |
| Min Order Quantity | 575 Shares |
| Listing At | BSE, NSE |
| Issue Size | 1,782,069,000 Eq Shares of ₹10 (aggregating up to ₹4,633.38 Cr) |
| Fresh Issue | 1,188,046,000 Eq Shares of ₹10 (aggregating up to ₹[.] Cr) |
| Offer for Sale | 594,023,000 Eq Shares of ₹10 (aggregating up to ₹[.] Cr) |
Important dates for IRFC IPO
| IPO Open Date | Jan 18, 2021 |
| IPO Close Date | Jan 20, 2021 |
| Basis of Allotment Date | Jan 25, 2021 |
| Initiation of Refunds | Jan 27, 2021 |
| Credit of Shares to Demat Account | Jan 28, 2021 |
| IPO Listing Date | Jan 29, 2021 |
Important Dates and Milestones for IRFC IPO
- Issue opens on Jan 18, 2021 and closes on Jan 20, 2021.
- The Allotment date for IRFC IPO issue is expected on Jan 25, 2021
- The amount for unsuccessful investor will get unblocked on Jan 25, 2021.
- The Shares of IRFC will get credited to Demat accounts on Jan 27, 2021.
- The Shares of IRFC IPO will be listed on both NSE and BSE on Jan 29, 2021
Check IRFC IPO Allotment Status Online
The applicants can check their IRFC IPO Allotment Status on the Tentative Date of Allotment, normally scheduled at 3rd or 4th working day after the IPO Closure. SEBI has mandates timelines for completion of IPO Allotment and as such the entire process of allotment gets completed in a week after the IPO closure. The Tentative date for IRFC IPO Allotment Status is Jan 25, 2021. In case, the Subscription does not remain so great for IRFC IPO, the chances of getting share allotment for IRFC IPO is high. However, in case, the subscription figures remains high, the chances of getting one lot in retail will be fairly minimal. It has been observed that with over subscription, the demand for shares on the listing date remains very high. One can check IRFC IPO Allotment Status by following 3 simple stepsCHECK IRFC IPO ALLOTMENT STATUS
- Visit to the website of RTA (Link Intime for this IPO) on a given Link specifically for checking IRFC IPO
- Enter detail like PAN number or Demat Account number or Application number
- Check status
What next after IRFC IPO
In case you are successful applicant, the share will get credited to your Demat account in next 1-2 days specifically before Listing date. As such, you are free to keep or sell your allocated shares. In case, you have not received allotment, the amount blocked in your bank account will get unblocked.CHECK IRFC IPO ALLOTMENT STATUS
Bid details for IRFC IPO
| Price (in Rs.) Quantity |
Subscription figures for IRFC IPO
| Category | No. of shares offered | No. of shares bid for | Category Subscription |
|---|---|---|---|
| Qualified Institutional Buyers (QIBs) | |||
| Foreign Institutional Investors (FIIs) | – | ||
| Domestic Financial Institutions | |||
| Mutual Funds | – | ||
| Others | – | ||
| Non Institutional Investors | |||
| Corporates | – | ||
| Individuals (Other than RIIs) | – | ||
| Others | – | ||
| Retail Individual Investors (RIIs) | |||
| Cut Off | – | ||
| Price Bids | – | ||
| Employee Reserved | |||
| Employee (Cut off) | – | ||
| Employee (Price) | – | ||
| Reservation PortionShareholder | – | – | |
| Reservation Portion Shareholder (Cut off) | – | – | |
| Reservation Portion Shareholder (Price) | – | – | |
| Total |
