New Delhi, February 26 The government's offer to sell 2% of its stake in Indian Railway Finance Corporation Ltd (IRFC) failed to attract full subscription on its final day, with both retail and institutional investors showing lukewarm response to the offer for sale (OFS).
On February 24, the government proposed to sell over 26.13 crore shares, or 2%, of IRFC at a floor price of Rs 104 per share, along with a green shoe option of an equal number of shares in the two-day OFS.
Of the 23.52 crore shares reserved for institutional investors, bids were received for 22.34 crore shares on Wednesday. The bids represented 94.98% of the shares offered to these investors.
Following market hours on Wednesday, the government decided not to exercise the green shoe option.
Of the over 3.79 crore shares offered to retail investors on Thursday, bids were received for approximately 5.9 lakh shares.
The government currently holds an 86.36% stake in the railway sector enterprise.
IRFC shares closed at Rs 103.25, down 1.24% from the previous close on the BSE. The scrip touched a 52-week low of Rs 102.50 during intra-day trading on Thursday.
