As RailTel readies to join IPO party, grey market premium soars 50%

NEW DELHI: After a brief pause, the domestic primary market is back in action with a couple of issues lined up for the coming week. Investors are keenly waiting for the new debutants, and the grey market too has joined the party.

The premium on the unlisted shares of RailTel has surged to Rs 44-47 in the grey market, the unofficial market for trading in unlisted shares. This translates into a 50 per cent bump up on the IPO price of Rs 93-94 per share.

The Rs 819-crore initial public offering opens on Tuesday, February 16, through which the government will sell a 27.16 per cent stake. The bidding process closes on Thursday, February 18.