Government divests 12% stakes in RITES; IPO opens on June 20

As an initial public offering 25,200,000 equity shares are offered in which employee reservation portion is up to 1,200,000.

pragya

Praggya Guptaa | June 18, 2018


#divestment   #mini ratna   #PSU   #railways   #RITES   #IPO  
Snapshot of RITES growth over the years
Snapshot of RITES growth over the years

The railway infrastructure consulting PSU, RITES Limited is coming up with its IPO on June 20, 2018, as the government of India is selling its 24 million equity shares (12%) stake in the Mini Ratna PSU. As an initial public offering 25,200,000 equity shares are offered in which employee reservation portion is up to 1,200,000. 

 
Besides railways consulting, RITES has diversified into many areas for growth such as highways, metro, transport, port and highways, etc. for growth. Also expanded into renewable energy, RITES have also formed a company with the Ministry of Railways with 51 percent stake in it. Railway Energy Management Company Limited and taken project in 55 countries. 
 
Commenting on the impact of the cost of EPC projects going down and business risks, Rajeev Mehrotra Chairman and Managing Director, RITES said, “Besides consultancy, we have added a lot of new expertise be it export or leasing as the situations. Concerning EPC cost going down, we have done enough risk management. We are sure of controlled growth of the company.  We are a very conservative approach to the business growth.  We have expanded only into those segments where there is a small credit risk. “On EPC said that company is working on fixed margins so cost fluctuation will not affect them. On risk part, he said he sees the payment realisation as the only risk.”

Comments

 

Other News

On a personal note: DIVINE

An underground rapper who grew up on Mumbai streets, Divine spins his music around his environment and poverty. His breakout single, ‘Meri Gully Mein’, along with fellow rapper Naezy caught Bollywood’s attention. The Hindi film ‘Gully Boy’ is inspired by their lives and gr

The role model for an IAS officer

Anil Swarup, an IAS officer of Uttar Pradesh cadre who retired in 2018, is a model bureaucrat who retained his optimism right till the end of service and exemplified dedication and commitment. His excitement at the opportunities that a job in the IAS provided is evident on every page of his new book publis

Reform of the civil services: At home and away

The question of reform of the civil services has been debated extensively at all levels at least over the last five to six decades after independence. Indeed, it was soon perceived that the Indian Administrative Service (IAS) may not be well equipped to deal with the problems of an emerging developing coun

The greatest challenge for any government

Shouting vengeance at all and sundry while wriggling out of holes of our own making seems to be our very special national characteristic. Some recent instances are illustrative of this attribute. A number of business tycoons with thousands of crores of unresolved debts have fled abroad with the government

The mysterious case of CBI’s legality

The Central Bureau of Investigation (CBI) came into existence, based on a Resolution of the home ministry, dated April 1, 1963 – a sheer coincidence that it also happens to be April Fool’s day. Over the past few months, we have seen the CBI live up to its founding day with great zeal, being i

The Evolution of Modi

Gujarat was passing through a turbulent phase in the 1980s. The decade began middle class agitations against new reservation policies, and the caste friction turned communal under the watch of chief minister Madhavsinh Solanki, alienating majority of urban population on both counts. The ground was ripe for

Current Issue

Current Issue

Video

CM Nitish’s convoy attacked in Buxar

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter