The initial public offer (IPO) of state-owned RITES Ltd., which provides transport consultancy and engineering services, will open on June 20 as the company plans to raise about ₹470 crore from the offering.
The firm is offering 2.52 crore equity shares in the price band of ₹180 to ₹185. Further, a discount of ₹6 to the issue price will be offered to retail investors and eligible employees that bid in the IPO. Since its inception in 1974, the company had undertaken projects in more than 55 countries, including in Asia, Africa, Latin America, South America and West Asia and is the only export arm of the Indian Railways providing rolling stock overseas.
Incidentally, the coming months would see a few more PSUs like Indian Renewable Energy Development Agency, Rail Vikas Nigam and Garden Reach Shipbuilders entering the capital market
The RITES IPO constitutes 12.60% of the post-offer paid-up equity share capital of the company that functions under the aegis of the Ministry of Railways.
Elara Capital, IDBI Capital Markets, IDFC Bank and SBI Capital Markets are the investment bankers managing the deal.