Indian Railway Finance Corporation (IRFC) formed into a legal organization in 1986. IRFC is Fully owned by the government of India as a public sector company. Main works of IRFC includes leasing railway Infrastructure, to give loan to entities under the Ministry of Railways and financing the acquisition of rolling stock assets. Indian Railway Finance Corporation helps the Ministry of Railways(MOR) in raising a good amount of funds for obtaining rolling stock assets like trucks, wagons, coaches, locomotives, electric multiple units, etc., and also helps IRFC in its improvement, asset management, and for expansion. IRFC IPO is coming for gathering funds that can be used in the future for companies growth.
It follows a monetary(financial) renting model to fund rolling stock assets acquirement for a rent time of 30 years. In monetary(fiscal) 2019, the real capital consumptions by the Indian Railways were around Rs. 1,334 billion, out of which Indian Railway Finance Corporation (IRFC) financed Rs. 525.35 bn representing 39.34% uses.
Companies Strengths:
1) Aggressive cost of borrowings.
2) Stisfactory Credit Ratings like ICRA AAA/A1+ & CRISIL AAA/A1+.
3) Good and strategic role in the growth of Indian railways.
4) Superior financial performance.
5) Nice management of asset-liability.
6) Expert Management Team.
IRFC IPO Details:
| Opening Date | 18 JANUARY 2021 |
| Closing Date | 20 JANUARY 2021 |
| Type of Issue | Book Built Issue IPO |
| Size of Issue | 1,782,069,000 – Equity Shares (aggregating up to ₹ 4,633.38 Cr) |
| Fresh Issue | 1,188,046,000 – Equity Shares (aggregating up to ₹ Cr) |
| Offer for Sale | 594,023,000 Equity Shares (aggregating up to ₹ Cr) |
| Listing At | BSE, NSE |
| Face Value | Rs.10 per eq. share |
| IPO Price | Rs. 25-26 |
| Market Lot | 575 Shares |
| Minimum Order Quantity | 575 Shares |
IRFC IPO Tentative Time-Table:
| Opening Date | 18 JANUARY 2021 |
| Closing Date | 20 JANUARY 2021 |
| Allotment Date | 25 JANUARY 2021 |
| Refund Initiations | 27 JANUARY 2021 |
| Share Credit in Demat Account | 28 JANUARY 2021 |
| IPO Listing | 29 JANUARY 2021 |
Companies Financials
| 30-September-20 | 31-March-20 | 31-March-19 | 31-March-18 | |
| Assests | 29,19,865.81 | 27,55,041.29 | 20,64,382.95 | 16,14,510.41 |
| 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 |
Grey Market Premium (GMP | IRFC IPO GMP) :
- Grey market premium on 19 January 2021 is Rs1.50
- Grey market premium on 18 January 2021 is Rs1.50
- Grey market premium on 17 January 2021 is Rs1.50
- Grey market premium on 16 January 2021 is Rs1.50-2
- Grey market premium on 15 January 2021 is ₹2-3.
- Grey market premium on 14 January 2021 is ₹2-3
- Grey market premium on 13 January 2021 is ₹2-3