Rail Vikas Nigam IPO – Review, Allotment Status, Subscription, Date, Price & more

Rail Vikas Nigam IPO is the latest IPO filed with SEBI. In this Article, we will have a detailed review of Rail Vikas Nigam IPO & we will go through in detail about their RVNL IPO Object, Allotment Status, Issue Details, Company background & Financials, RVNL IPO release date, IPO price band, IPO grey market pricing & more.


Rail Vikas Nigam IPO / RVNL IPO Review & Ratings

Ratings & Review
CriteriaRatings
Industry Sentiments8.5/10
Industry Ranking8.7/10
Company Background8.6/10
Company Reputation8.7/10
Competitive Edge8.8/10
Financial Statements8.9/10
Popularity Index8.8/10
Promoters Reputation8.6/10
Retail Appetite8.8/10
Top Brokers Review8.8/10
Overall Ratings8.7/10
Star Ratings★★★★★

Summary of Rail Vikas Nigam IPO

rail vikas nigam ipo RVNL IPORail Vikas Nigam Limited is a wholly owned government company, a Miniratna (Category – I) Schedule ‘A’ Central Public Sector Enterprise, incorporated by the Ministry of Railways (“MoR”) under the Companies Act, 1956 on January 24, 2003, as a project executing agency working for and on behalf of MoR. RVNL net profit in Financial year FY 2015, 2016, 2017 is Rs 3,368.49 million, Rs 4,294.34 million, Rs 4,434.87 million and Rs 2,359.35 million, respectively.

The PSU was incorporated with an objective to undertake rail project development, mobilization of financial resources and implementation of rail projects pertaining to strengthening of golden quadrilateral and port connectivity and raising of extra- budgetary resources for project execution.

Rail Vikas Nigam Limited has hired 3 Lead Managers to perform all activities related to IPO. These Lead Managers are: Yes Securities (India) Limited, Elara Capital (India) Private Limited, IDBI Capital Markets & Securities Limited. The PSU company has also hired Alankit Assignments Limited as their registrar to the offer.

RVNL is planning to go out with 20.85 crores equity shares in the market, this is close to 10% of the government’s stake. This is supposedly one of the largest IPO of 2018. The shares of RVNL IPO will be listed in both BSE & NSE.


Subscribe to Rail Vikas Nigam Limited IPO – Fill up the Form Below

Fill the Details Below
  1. Subscribe to IPOOpen Demat AccountBecome Sub Broker

Rail Vikas Nigam IPO Date (RVNL IPO Date)

The opening and the closing date of RVNL IPO is from Mar 29, 2019 – Apr 3, 2019.

Rail Vikas Nigam IPO Subscription

Day / DateQIBNIIRIIEmployeeTotal Subscription
1st Day – Mar 290.02x0.24x0.16x0.09x
2nd Day – April 10.04x0.48x0.48x0.18x
3rd Day – April 20.03x0.15x1.25x0.90x0.48x
4th Day – April 31.36x0.80x2.92x2.11x1.82x
Shares Offered or Net Issue126,400,00037,920,00088,480,000657,280253,457,280

RVNL IPO Subscription will be released post issue of IPO.


Rail Vikas Nigam IPO Allotment Status

The Allotment status of the RVNL IPO for every individual will be posted after 3-4 weeks of the IPO issue. Here, you can find the Allotment Status of this IPO.

Basis of Allotment Finalization8-Apr-19
Refunds Initiation9-Apr-19
Credit of Shares to Demat Account9-Apr-19
Share Listing Date11-Apr-19

Rail Vikas Nigam IPO Price Band

The price band of RVNL IPO is Rs 17 – Rs 19 Per Equity Share.

Rail Vikas Nigam IPO Issue Size (RVNL IPO)

The RVNL IPO Issue size is 253,457,280 Equity Shares of face value Rs 10, aggregating up to Rs 481.57 Crores.

Rail Vikas Nigam IPO Equity Share Offerings

The PSU company has released in the red herring prospectus that they will offer around 20.85 crore equity shares in the market. The Min Order Quantity or Market Lot is 780 Shares. It is Listed on both BSE and NSE.

  • Retail Portion: 35%
  • Discount: Rs 0.50 for Retail & Employees

Rail Vikas Nigam Limited – Company Overview

Rail Vikas Nigam Limited is a wholly owned government company, a Mini Ratna incorporated by the Ministry of Railways (“MoR”). They were incorporated with an objective to undertake rail project development, mobilization of financial resources and implementation of rail projects.

RVNL is in the business of executing all types of railway projects including new lines, doubling, gauge conversion,
railway electrification, metro projects, workshops, major bridges, construction of cable stayed bridges, institution
buildings etc.

Since their inception in 2003, MoR has transferred 172 projects of which 166 projects are sanctioned for
execution. Out of these, 60 projects have been fully completed totalling to Rs.167,777.00 million and the balance
are ongoing. The PSU have an order book of Rs.686,836.20 million as on February 28, 2018 which includes 106 ongoing projects.

Key Members of the Company

  • Satish Chandra Agnihotri (Chairman & MD)
  • Gita Mishra (Director)
  • Vijay Anand (Director)

Competitive Strengths of the Company

  • Expertise in undertaking all stages of project development and execution from conceptualization to commissioning
  • Established financial track record
  • Undertaken diverse categories of projects with an asset light model
  • Empowerment by MoR for sanctioning project estimates and award of contracts
  • Standardization of operating procedures resulting in faster decision making
  • Experienced Board and Key Managerial Personnel and skilfully trained workforce

Strategies of the Company

  • To leverage the position as an executing agency in MoR’s investment plan for ramping of rail infrastructure
  • Securing of rail infrastructure projects from other ministries/ PSUs
  • Focus on high value projects
  • Implementation of railway workshops and factory projects

Rail Vikas Nigam Limited – Financial Statements

Let us go through the financial statement of the PSU company

Amount (in INR & Millions)
30-Sep-1831-Mar-1831-Mar-1731-Mar-1631-Mar-15 (Proforma)
Total Assets87,324.1085,685.4688,595.72222,156.75161,353.72
Total Expense34,846.4972,580.6256,737.8943,502.5230,213.39
Total Revenue36,228.8275,973.5859,151.0645,398.5431,465.35
Profit After Tax2,536.205,699.204,434.624,294.343,368.49

Earnings per Equity Shares of RVNL IPO

Earning per Equity Share (in INR)
 Mar’17Mar’16Mar’15Mar’14Mar’13
Basic2.132.061.620.780.67
Diluted2.132.061.620.780.67

The company has seen massive growth in its PAT & Revenue in last 5 years. So, it is expected to give high returns post IPO launch. We recommend to subscribe to this IPO.


Rail Vikas Nigam Limited or RVNL IPO Promoters

The Promoter is the President of India acting through the Ministry of Railways. The Promoter, along with its nominees, currently hold 100% of the pre-Offer paid-up Equity Share capital of the Company. After this Offer, the Promoter shall hold 87.84% of the post-Offer paid-up equity share capital of the Company.


Rail Vikas Nigam IPO Offer Details or RVNL IPO Issue Details

Offer of Equity Shares253,457,280 Equity Shares aggregating to Rs.[●] million
Of which:
Employee Reservation PortionUp to 657,280 Equity Shares aggregating to [●] million
Accordingly,
Net Offer252,800,000 Equity Shares aggregating to Rs.[●] million
of which:
A) QIB Portion126,400,000 Equity Shares
of which:
Mutual Fund Portion6,320,000 Equity Shares
Balance for all QIBs including Mutual Funds120,080,000 Equity Shares
B) Non-Institutional PortionNot less than 37,920,000 Equity Shares
C) Retail PortionNot less than 88,480,000 Equity Shares
Pre and post Offer Equity Shares
Equity Shares outstanding prior to the Offer2,085,020,100
Equity Shares outstanding after the Offer2,085,020,100

Rail Vikas Nigam IPO Issue Object

Following are the objects of the RVNL IPO issue:

  • To carry out the disinvestment of [●] Equity Shares held by the Selling Shareholder in the Company, equivalent to 10% of the Company’s pre-Offer paid up Equity Share capital of the Company as part of the Net Offer, and such Equity Shares that may be reserved for Employee Reservation Portion, if any, subject to necessary approval from GoI
  • To achieve the benefits of listing the Equity Shares on the Stock Exchanges. The Company will not receive any proceeds from the Offer and all such proceeds will go to the Selling Shareholder.

Rail Vikas Nigam IPO – Basis of the offer

The Offer Price RVNL IPO will be determined by the Company and Selling Shareholder in consultation with the BRLMs, on the basis of assessment of market demand for the Equity Shares through the Book Building Process and on the basis of quantitative and qualitative factors as described below.

Qualitative Factors

Some of the qualitative factors which form the basis for computing the Offer Price are:

  • Expertise in undertaking all stages of project development and execution from conceptualisation to
    commissioning;
  • Established financial track record
  • Undertaken diverse categories of projects with an asset light model
  • Empowerment by MoR for sanctioning project estimates and award of contracts
  • Standardization of operating procedures resulting in faster decision making
  • Experienced Board and Key Managerial Personnel and skillfully trained workforce

Quantitative Factors

Some of the quantitative factors which may form basis for computing the Offer Price are as follows:

  • Basic and Diluted Earnings per Share (“EPS”) : Last 3 years weighted avg. is INR 2.02.
  • Price/ Earning (“P/E”) ratio in relation to the Offer Price of Rs.[●] per Equity Share
  • Return on Net Worth (“RoNW”): For 3 Years is 10.89%
  • Minimum Return on Increased Net Worth needed after the Offer for maintaining Pre-Offer EPS
  • Net Asset Value (“NAV”) per Equity Share for Dec 2017 is Rs.14.79.

Rail Vikas Nigam IPO Lead Managers

Lead Managers
Yes Securities (India) Limited
Elara Capital (India) Private Limited
IDBI Capital Markets & Securities Limited

RVNL IPO Registrar to the Offer

Registrar to the Offer
ALANKIT ASSIGNMENTS LIMITED

Address:Alankit Heights, 1E/13 Jhandewalan Extension, New Delhi –110055. Telephone:+9111 4254 1234/91 11 2354 1234 Facsimile:+91114154 3474Email:[email protected], Website:www.alankit.com

Investor Grievance ID:[email protected], Contact Person: Pankaj Goenka /Bojimon

KHSEBI Registration Number:INR000002532


RVNL IPO Review by Top 10 Stock Brokers

Here are the review of Rail Vikas IPO by top 10 stock brokers.

Top Stock Brokers ReviewCompany ReputationCompetitive EdgeFinancial StatementPopularity IndexPromoters Reputation
Angel Broking8.5/108.9/108.5/108.9/108.9/10
Sharekhan8.6/108.4/108.6/108.5/108.6/10
Kotak Securities8.5/108.5/108.9/108.9/108.8/10
ICICI Direct8.8/108.8/108.7/108.5/108.9/10
IIFL8.5/108.6/108.8/108.0/108.5/10
Edelweiss8.5/108.5/108.2/108.8/108.6/10
Zerodha8.9/108.9/108.5/108.9/108.0/10
5Paisa8.9/108.5/108.9/108.2/108.2/10
Karvy8.5/108.8/108.6/108.9/108.9/10
Motilal Oswal8.9/108.9/108.6/108.8/108.6/10

Rail Vikas Nigam Limited IPO Grey Market Premium

Rail Vikas Nigam IPO Grey Market Premium price is Rs 1-1.50, the Kostak rate is Rs X and the Subject to Sauda is Rs. 350. 


Subscribe to Rail Vikas Nigam IPO – Fill up the Form Below

Fill the Details Below
  1. Subscribe to IPOOpen Demat AccountBecome Sub Broker

RVNL IPO News

News 1 – 4 PSUs file IPO papers with Sebi

NEWS 2 – RVNL IPO OPENS SOON [DOWNLOAD PROSPECTUS PDF]

News 3 – Download Red Herring Prospectus


Market Guide

What is IPO?
IPO Investment
IPO Valuation
Upcoming IPOs

Featured Topics

Top 10 Discount Brokers in India
Best Demat Account in India
Top Stock Brokers in India
Stock Broker Comparison
Top 10 Intraday Trading Brokers in India
Stock Market Franchise
Top 10 Full Service Brokers in India
Sub Broker Franchise
Top 10 Broking Franchise

2 thoughts on “Rail Vikas Nigam IPO – Review, Allotment Status, Subscription, Date, Price & more

Leave a Reply

Your email address will not be published. Required fields are marked *

Get 100% IPO Allotment Guarantee! Subscribe to IPO
×

Share your details & Become Sub Broker Now!

  1. Become Sub BrokerOpen Demat Account

Offer valid for limited time.

×

Share your details & Open Demat A/C Now!

  1. Open Demat AccountBecome Sub Broker

Offer valid for limited time.

×

Share your details & Get IPO Allotment Now!

  1. Invest in IPOOpen Demat Account

Offer valid for limited time.

×

Share your details & Invest in PMS Now!

  1. Invest in PMSOpen Demat Account

Offer valid for limited time.