RailTel Corporation of India Limited will offer its initial public offering on February 16, 2021, and the offer will close on Thursday, February 18, 2021. The price band of the Offer has been fixed at Rs 93 to Rs 94 per Equity Share of the face value of Rs 10 each. The Anchor Investor Bidding Date shall be one Working Day prior to the Bid/Offer Opening Date, i.e. Monday, February 15, 2021. The QIB portion of the net offer shall be not more than 50%; not less than 35% of the net offer shall be available for allocation to Retail Individual Bidders and not less than 15% of the net offer shall be available for allocation on a proportionate basis to Non-Institutional Bidders.
The Offer will comprise up to 87,153,369 equity shares of the face value of Rs10 each and the Offer will be a complete offer for sale by the Government of India. The Company will not be directly receiving any proceeds from the Offer and all the Offer Proceeds will be received by the Selling Shareholder. The objects of the Offer are to carry out the disinvestment of 87,153,369 Equity Shares held by the Selling Shareholder and to achieve the benefits of listing the Equity Shares on the Stock Exchanges. ICICI Securities Limited, IDBI Capital Markets &Securities Limited, and SBI Capital Markets Limited are appointed as the BRLMs to the Offer.
Offer opens for subscription: February 16, 2021
Offer Closes for subscription: February 18, 2021
Price band: Rs 93-94 per share
Bids can be made for a minimum of 155 shares
RailTel is a Mini Ratna (Category-I) Central Public Sector Enterprise, wholly-owned by the Government of India and under the administrative control of the Ministry of Railways. RailTel Corporation, a Mini Ratna (Category-I) PSU, is one of the largest neutral telecom infrastructure providers in the country. It owns a Pan-India optic fiber network on exclusive Right of Way (ROW) along the Railway track. The OFC network covers several towns & cities of the country and several rural areas.
It has 59,098 route kilometers of optical fiber cable network which has connected 5,929 railway stations across towns and cities in India (as of January 31, 2021). RailTel offers a diversified portfolio of ICT services and solutions including MPLS-VPN, leased lines services, TPaaS, e-Office services and data center services, large network hardware system integration, software and digital services to enterprises, public sector banks, defense organisations, and educational institutions; operated through data centers located in Gurugram, Haryana, Secunderabad and Telangana to host and collocate critical applications for customers including the Indian Railways. RailTel is also appointed by the Ministry of Railways for implementation of the Hospital Management Information System and also allotted its e-Office Project Phase 3 project to RailTel.