Rail Vikas Nigam Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
Participate in the Rail Vikas Nigam Ltd IPO with full transparency. Review issue details, company fundamentals, and financial performance, and apply securely through Alice Blue.
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a consolidated basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offering of 253,457,280 equity shares of face value of Rs.10 each ("equity shares") of Rail Vikas Nigam Limited (the "company" or the "issuer") through an offer for sale by the President of India, acting through the Ministry of Railways, Government of India (the "selling shareholder"), for cash at a price* of Rs. 19 per equity share (the "offer price"), aggregating to Rs. 477.11 Crores (the "offer"). Subject to receipt of necessary approval from the Government of India ("GOI"), the company may reserve a portion of 657,280 equity shares for allocation and allotment to eligible employees (as defined herein), ("employee reservation portion"). The offer less employee reservation portion, is referred to as the net offer. The offer comprised of a net offer of 252,800,000 equity shares and the employee reservation portion of 657,280 equity shares. The offer and net offer shall constitute 12.16% and 12.12% of the post-offer paid-up equity share capital of the company respectively. The Face value of the equity shares is Rs. 10 each. The Offer price is 1.9 times the face value of the equity shares. Retail Discount and Employee Discount Rs. 0.50 and Rs. 0.50 per Equity Share on Offer Price.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Company majorly depend on the MoR for sourcing of its projects. Recently, there have been reconsiderations by the MoR regarding the modalities of its project assignments. There can be no assurance that future projects will be granted to us, which may result in an adverse effect on its business growth, financial condition and results of operations.
- Company completely depend on the project sponsoring authorities like MoR and state governments etc. for financing of its projects. There can be no assurance that in future adequate financing will be granted to us, which may result in an adverse effect on its business growth, financial condition and results of operations.
- Company may not continue to have power to sanction detailed/revised estimates of the works assigned to it by the MoR which may adversely affect its business growth, financial condition and results of operations.
- Company largely depend on MoR for funds and manpower supply which may lead to a delay in execution of projects and limit the number of projects undertaken by it
- Company depend on MoR for allotment of rails and sleepers for laying of track for new line, gauge conversion and doubling projects. Any delay from the MoR for allotment of the required rails and sleepers may delay our projects and may adversely affect its business, financial condition and results of operations.