Government-owned Indian Railway Catering and Tourism Corporation Limited (IRCTC) will announce the price band on the initial public offering (IPO) on September 30, according to a report by Mint.
Around 2 crore equity shares with a face value of Rs 10 each would be offered for sale by the government. According to the report, the IPO would be worth about Rs 500-600 crore. After selling these stakes, the government's stake will come down 12.5%.
The proposed IPO is expected to see the government sell stake worth ₹480 crores through an offer for sale, said a person aware of the development told the newspaper.
The IPO is said to be managed by IDBI Capital Markets & Securities, SBI Capital Markets and YES Securities (India).
IRCTC has four business segments that include, catering, internet ticketing, packaged drinking water, and travel and tourism. It operates one of the most transacted websites, 'www.irctc.co.in' in the Asia-Pacific region. The company's shares are proposed to be listed on BSE and NSE.