After nearly two years, a public sector firm will come out with an initial public offering (IPO) to raise funds from the capital market. Power Finance Corporation (PFC) will be offering 11.7 crore equity shares of Rs 10 face value each to the public through a 100 per cent book building process. The company, which will hit the market on January 31, has fixed a price band of Rs 73-85 for the IPO. It has reserved 25 lakh shares for employees of the company. At the high end of the price band, it is set to raise around Rs 1,000 crore from the market.While the company will have a post-issue market capitalisation of Rs 8,379-9,756 crore, the offer comes at price to earnings multiple band of 8.8-10.3 on March 2006 earnings.
