IRFC OFS sees weak institutional demand; bids hover near floor price

Government's 4% IRFC stake sale drew muted interest from institutional investors, with only 85% subscription at the base level and bids clustering near the ₹104 floor price

The government’s 4 per cent stake sale in Indian Railway Finance Corporation (IRFC) met with a lukewarm response from institutional investors on Wednesday. The offer for sale (OFS) received bids for just 223 million shares, against a total offer size of 522.7 million shares. Even the base issue size of 261 million shares was subscribed only 85 per cent.

 

Most bids clustered around the floor price of ₹104 per share, reflecting the muted demand. IRFC shares fell 4.4 per cent in secondary market trading to close at ₹104.6.

 

As of the end of the December 2025 quarter, the government held an 86.36 per cent stake in IRFC, the financing arm of Indian Railways. The retail portion of the issue, comprising 22.3 million shares, will be auctioned on Thursday. If the base issue is fully subscribed, the government is expected to raise about ₹2,300 crore from the OFS.

 

 

Earlier this month, the Centre raised ₹4,465 crore by divesting a 5 per cent stake in BHEL. So far in the current financial year, the government has mobilised ₹13,233 crore through stake sales in listed public sector undertakings. 

CAMS-KFintech JV appoints CEO for MF Central 

MFC Technologies, a joint ven-ture between CAMS and KFin Technologies, has appointed Rajesh Krishnamoorthy as the chief executive officer of mu-tual fund (MF) transaction plat-form MF Central. The company has also appointed Supratim Bandyopadhyay as the non-executive chairman of its board. The appointments come more than a year after the two registrar and transfer agents (RTAS) forged a standalone en-tity to operate the MF Central platform. The platform was es-tablished in 2021 on the direc-tion of the Securities and Exchange Board of India.