Govt to sell 15-20% stake in IRCTC
The government plans to sell about 15-20% stake in IRCTC via offer for sale (OFS) and would like to complete the transaction in minimum number of tranches.
Last month, the Department of Investment and Public Asset Management had invited bids from merchant bankers by September 10 for managing the sale in Indian Railway Catering and Tourism Corp (IRCTC).
However, it did not disclose the quantum of stake on offer in the Request for Proposal. Following this, a pre-bid meeting was held on September 4 with potential bidders.
DIPAM has now posted its response to the queries raised by potential bidders on its website.
To a query on intended stake dilution percentage, DIPAM said, “The indicative percentage is 15% to 20%. The exact details will be shared with the selected merchant bankers.”
The government currently holds 87.40% stake in IRCTC. To meet Sebi’s public holding norm, it has to lower its stake in the company to 75%.