More Stories

Informist, Wednesday, Feb. 25, 2026

 

--Govt to not exercise oversubscription option for IRFC OFS 

 

NEW DELHI – The government has decided against exercising the greenshoe option to sell an additional 2% stake in the offer for sale of Indian Railway Finance Corp. Ltd., the non-banking financial institution said Wednesday. The government has offered to sell 2% stake in the public-sector engineering company through the offer for sale, with an option to sell an additional 2%. The offer for sale was open to non-retail investors Wednesday and retail investors can bid on Thursday.

 

"In this connection, we wish to inform to the Stock Exchanges that the Promoter is not exercising the Oversubscription Option to the extent of 26,13,70,120 Equity Shares (representing 2% of the total paid-up equity share capital of the Company) since there is under subscription of 1,18,04,243 Equity Shares of the Company as on the T Day," the company said.

 

The government currently holds 86.36% stake in IRFC. The floor price for the offer for sale, announced Tuesday, has been set at INR 104 per share, 5?low Tuesday's closing price of INR 109.44 on the National Stock Exchange. On Wednesday, shares of the company closed 4.5% lower at INR 104.56.

 

At the floor price, the government can raise up to INR 28.60 billion by selling 2% stake. A 4% stake sale would have better helped the government meet its miscellaneous capital receipts target of INR 338.37 billion for 2025–26 (Apr–Mar). So far this year, the government has raised INR 132.33 billion through the sale of minority stake in public-sector undertakings and INR 188.37 billion through asset monetisation. This leaves a gap of INR 17.67 billion to be bridged in the final 34 days of the fiscal year.

 

For the quarter ended December, IRFC reported a net profit of INR 18.02 billion on total revenues of INR 66.61 billion.  End

 

Reported by Priyasmita Dutta

Edited by Ashish Shirke

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2026. All rights reserved.