Centre to raise Rs 257 cr via IDFC IPO
The Union Government will raise a minimum of Rs 257 crore through the Initial Public Offering (IPO) of Infrastructure Development Finance Company (IDFC) to reduce its stake from 34.91 per cent to 23.29 per cent.
By PTI |
CHENNAI: The Union Government will raise a minimum of Rs 257 crore through the Initial Public Offering (IPO) of Infrastructure Development Finance Company (IDFC) to reduce its stake from 34.91 per cent to 23.29 per cent.
The IPO, which would open on July 15, will see the Centre diluting its stake by 8.86 crore shares. The price band of the IDFC IPO is set at Rs 29 to Rs 34 per share.
Similarly, the foreign investors would also partly divest their holdings through the IPO, reducing their stake from 39.90 per cent to 24.94 per cent post-issue, top IDFC officials said here.
A handful of foreign investors, including IFC (6.09 per cent), Asian Development Bank (6.09 per cent), Indivest Pte Ltd. (6.09 per cent) and Kendall Holdings Ltd. (3.99 per cent) took stake in IDFC at Rs 10 per share when the company was floated in 1997.
Most of these foreign investors would partly divest the stake through the IPO, said Urjit Patel, Executive Director, IDFC, adding that this would give an opportunity to the Indian public to be part of the IDFC's success story.
The operating income of the company constituted 94 per cent of total income; the return on assets was 4.5 per cent and the net NPAs were nil, Patel said adding the energy sector had the largest exposure by IDFC at 34 per cent, followed by telecom (27 per cent) and transportation (26 per cent).
IDFC is offering 40.36 crore equity shares through the IPO, comprising a fresh issue of 12 crore shares and 28.36 crore shares by way of dilution by existing shareholders.
The IPO, which would open on July 15, will see the Centre diluting its stake by 8.86 crore shares. The price band of the IDFC IPO is set at Rs 29 to Rs 34 per share.
Similarly, the foreign investors would also partly divest their holdings through the IPO, reducing their stake from 39.90 per cent to 24.94 per cent post-issue, top IDFC officials said here.
A handful of foreign investors, including IFC (6.09 per cent), Asian Development Bank (6.09 per cent), Indivest Pte Ltd. (6.09 per cent) and Kendall Holdings Ltd. (3.99 per cent) took stake in IDFC at Rs 10 per share when the company was floated in 1997.
Most of these foreign investors would partly divest the stake through the IPO, said Urjit Patel, Executive Director, IDFC, adding that this would give an opportunity to the Indian public to be part of the IDFC's success story.
The operating income of the company constituted 94 per cent of total income; the return on assets was 4.5 per cent and the net NPAs were nil, Patel said adding the energy sector had the largest exposure by IDFC at 34 per cent, followed by telecom (27 per cent) and transportation (26 per cent).
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IDFC is offering 40.36 crore equity shares through the IPO, comprising a fresh issue of 12 crore shares and 28.36 crore shares by way of dilution by existing shareholders.
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