NEW DELHI: The government is looking to divest up to 25 pc stake in RailTel Corporation, and is scouting for merchant bankers to manage the listing process.

The government will appoint up to three merchant bankers to manage the listing process and has invited bids from them by June 11. The paid up share capital of the Railway PSU stands at Rs 320.93 cr and Profit After Tax for 2017-18 was Rs 156 cr. As on March 31, 2018, RailTel Net worth stood at Rs 1,249 cr.

“The Government of India is considering to divest up to 25 pc paid up equity share capital in RailTel out of its 100 pc in the domestic market throuh IPO,” the Department of Investment and Public Asset Management said. In December, the Cabinet Committee on Economic Affairs approved a plan to list six public sector companies, including RailTel Corp.