Govt to sell shares in IRCON, RITES, other rail PSUs

The move comes as part of a broader push to meet the monetization target under NMP 2.0

- Subhash Narayan & Dhirendra Kumar

The ministry of railways is planning to dilute 5-10% stakes in six listed railway public sector undertakings and another 2-3% in another listed company through offer-for-sale (OFS) transactions in FY27, as part of a broader push to meet a ₹2.62 trillion monetization target under the National Monetisation Pipeline (NMP 2.0), two people aware of the matter said.

The seven listed railway PSUs are Indian Railway Catering and Tourism Corp. (IRCTC), Indian Railway Finance Corp. (IRFC), Ircon International, Rail Vikas Nigam Ltd, RITES Ltd, RailTel Corp. of India, and Container Corp. of India (Concor).

The planned sales mark a portfolio-wide monetization strategy across the listed railway ecosystem, while ensuring the government retains management control in all key entities. In Concor, where the Centre holds 54.8%, the dilution will be limited to 2-3% to keep its stake above 51%, one of the persons said. In the remaining six listed railway PSUs, the government is expected to continue as majority shareholder.

“The partial stake sales in listed railway companies will form a key pillar of the strategy, allowing the government to unlock value while retaining management control,” this person said.