Indian Railway Catering and Tourism Corporation (IRCTC) will start its business in the stock market from Monday. On the same day its shares will be listed on BSE and NSE. IRCTC had targeted to raise Rs 645 crore from the sale of these shares. BSE said in a circular that the equity shares of IRCTC Ltd will be listed from October 14 and will be available for purchase and sale in the B group of securities. Earlier, the IPC of IRCTC opened between September 30 and October 4. It was subscribed up to 112 times.
Its listing price can increase significantly. There has already been a 71 per cent rise in the share price in the gray market. The company had targeted to raise Rs 645 crore through this IPO. The company’s stock will be listed on the stock market on Monday.
305 is the price per share
The company allotted shares during the IPO at a price of Rs 305. People had to spend Rs 12,200 to buy a lot of 40 shares. Now the company is getting a premium of Rs 220-227 in the gray market. Accordingly, the stock is currently available in the gray market at Rs 520 per share.
People with high net worth are buying most of this stock. These people have invested the most money in this IPO. Initially, the IPO was getting a premium of Rs 60-64, then it was Rs 163 and now its shares are getting a premium of Rs 220-227.
According to data from the stock exchange, bids have been sought for two crore shares under this IPO brought to raise Rs 645 crore. The price range for this IPO has been fixed at Rs 315–320. In this issue, 1,60,000 shares have been reserved for eligible employees.
The category of qualified institutional buyers (QIB) has been subscribed 109 times, 355 times in case of non-institutional investors (NII) and 15 times in the case of retail investors.
Companies raised 6,000 crores from IPO
Indian companies raised approximately $ 0.86 billion (Rs 6,000 crore) through the initial public offering (IPO) in the July-September quarter. Meanwhile, companies have launched 10 IPOs in the market. Ernst & Young (EY) said in a report on Thursday that the IPO market will pick up further in the first half of 2020.
According to EY, the Indian equity market (BSE-NSE) ranked sixth in the world in terms of IPO issuance in the third quarter of 2019. However, Indian companies raised $ 0.87 billion through 22 IPOs in the same quarter last year.
Four IPOs were issued on BSE-NSE in 2019, compared to three a year earlier. Six IPOs were launched in the SME market during the third quarter, compared to 42 IPOs in the same period last year. The report said that the continuous reforms being undertaken by the government have started showing the effect on the capital market and this will strengthen the market sentiment, which will help to accelerate the economy.