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Indian Railway Finance Corporation IPO ? Schedule *(Tentative)*
08th Jan ? Announcement of Price Band
12th Jan ? Anchor Investors Allotment
13th Jan ? Offer Opens
15th Jan ? Offer Closes
20th Jan ? Finalisation of Basis of Allotment
21st Jan ? Unblocking of ASBA Accounts
22nd Jan ? Credit of Equity Shares to Depository Accounts
25th Jan ? Commencement of Trading
Indian Railway Finance Corporation IPO ? Issue Information *(Tentative)*
Issue Opens on: 13 January 2021
Issue Closes on: 15 January 2021
Issue Type: Book Built Issue IPO
Issue Size: 1,78,20,69,000 Shares
Face Value: Rs.10/- per Share
Issue Price: Rs.25 ? Rs.26 Share *(Tentative)*
Discount: NIL
Market Lot: 575 Shares
Listing At: NSE, BSE
Equity Shares outstanding prior to the Issue = 11,88,04,60,000 Shares
Fresh Issue of 1,18,80,46,000 Shares @26/- = Rs.3,088.92Crs
Offer for Sale of 59,40,23,000 Shares @26/- = Rs.1,544.46Crs
Equity Shares outstanding after the Issue = 13,06,85,06,000 Shares
Category-wise Break up:
Anchor ? 53,45,63,010 Shares = 1,389.86Crs
QIB ? 35,63,75,340 Shares = 926.58Crs
NII ? 26,72,81,505 Shares = 694.93Crs
RII ? 62,36,56,845 Shares = 1621.51Crs (Lot size: 575 = 10,84,621 Forms)
Empl. Quota ? 1,92,300 Shares = 00.50Crs
Total Issue ? 1,78,20,69,000 Shares = 4,633.38Crs.
Subscription required for 1X
RII = 10,84,621 Forms
NII = 694.93Crs
Indian Railway Finance Corporation IPO ? Financial Information (Basis of Valuation)
The information is collated from the following documents:
1) DRHP = Draft Red Herring Prospectus dated January 16, 2020 (360 pages)
2) Addendum = Addendum dated October 23, 2020 (156 pages)
EPS for FY16-17 >>> Rs.01.41 (Page #82 of DRHP)
EPS for FY17-18 >>> Rs.03.14 (Page #14 of Addendum)
EPS for FY18-19 >>> Rs.03.43 (Page #14 of Addendum)
EPS for FY19-20 >>> Rs.03.93 (Page #14 of Addendum)
RoNW for FY16-17 >>> 07.67% (Page #83 of DRHP)
RoNW for FY17-18 >>> 12.60% (Page #15 of Addendum)
RoNW for FY18-19 >>> 09.93% (Page #15 of Addendum)
RoNW for FY19-20 >>> 13.93% (Page #15 of Addendum)
NAV as on September 30, 2020 was Rs.27.1092
NAV as on March 31, 2020 was Rs.26.06 (Page #15 of Addendum)
NAV as on September 30, 2019 was Rs.21.37 (Page #83 of RHP)
Listed Industry Peer Group (Page #15 of Addendum): NONE
Indian Railway Finance Corporation IPO ? *Market?s Current Estimates of oversubscription*:
NII = 50.00K Crs. = ~71.95X
RII = 27.00L Forms = 2.49X Applic. wise (Avg allotment of ~231.40 shares per lot)
Interest cost *@6.00%p.a.* for 7days = 2.99paise for 1X
Thus, for NII the costing = 71.95 X 2.99paise = Rs.2.15 per share (= GMP)
And, for RII the costing = 231.40 X 2.15 = Rs.498/- (= Kostak)
Indian Railway Finance Corporation IPO ? *GMP Estimated*
GMP 2.15 +/- 0.05
Kostak 500 +/- 10