RailTel: Analysts expect shares to list at 16-18% premium over issue price

The IPO by RailTel Corporation had witnessed a robust response from market participants and was subscribed 42 times

Shares of RailTel Corporation of India were commanding a premium of Rs 15-17 per unit in the unlisted market ahead of their debut on exchanges on Friday, February 26, implying listing gains of 16-18 per cent over the issue price of Rs 94 per share.

But a correction in the secondary market has dented the listing pop by nearly 50 per cent for RailTel shares as they were trading at Rs 109-112 apiece in the unlisted market from Rs 122 earlier, said grey market watcher Manan Doshi, co-founder of Unlistedarena.com.

Keshav Lahoti, equity research analyst at Angel Broking too shares