IRCTC IPO Latest News: The Indian Railways Catering and Tourism Limited, popularly known as IRCTC, is all set to issue its first-ever initial public offering (IPO).
The IRCTC on August 22 filed draft papers for its IPO. The government aims to raise nearly Rs 600 crore with IRCTC IPO. The government, a Mint report said, aims to offload 20 million shares in IRCTC via the IPO.
Indian Railway Catering and Tourism Corporation (IRCTC) is a subsidiary of the Indian Railways that handles the catering, tourism and online ticketing operations for railways.
With around 5,50,000 to 6,00,000 bookings every day is the world's second-busiest.
IRCTC's four prominent businesses are -- internet ticketing, travel and tourism, packaged drinking water under Rail Neer and catering on trains and platforms.
Ahead of the IRCTC IPO, IndiaTvNews.com brings to you the key numbers that you should know before making any decision.
- Rs 1899 crore revenue earned in 2019 fiscal, which is a jump of 25 per cent when compared with 2018.
- IRCTC showed a 23.5% jump in profits to Rs 272.5 crore in FY 2019.
- IRCTC sells almost 8 lakhs tickets every day through its website www.irctc.co.in
- IRCTC website gets almost 7.2 million logins per day
- Rail Neer, IRCTC catering is capable of producing almost 1 million litres of water per day.
- The catering business has emerged has IRCTC's biggest contributor. 55% revenue of IRCTC comes through its catering business.
- The internet ticketing business contributes only 12 per cent of its revenue.
- By offering an IRCTC IPO, the Modi government plans to take rail entities public. If reports in sections of media are to be believed, the government hopes to raise Rs 1.05 trillion from divestments in the current financial year.
IRCTC is likely to notify people of its upcoming IPO as and when the formalities are done.
What is an IPO?
IPO or an initial public offering is a process offering shares of a private corporation to the public in new stocks. In simple terms, IPO means releasing company stocks to the public in general for the first time.