State-owned RailTel Corporation of India's initial public offering (IPO) will open for subscription on February 16 to raise over Rs 800 crore. The issue will close on February 18 and the price band for the IPO has been set at Rs 93-94 per share.

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The information and communications technology infrastructure provider would be the sixth initial public offerings this year, after Indian Railway Finance Corporation, Indigo Paints, Home First Finance Company, Stove Kraft, and Brookfield India Real Estate Trust.

The IPO will be a complete offer for the sale of 8.7 crore equity shares by the government. Of this, 5 lakh shares will be reserved for the company's employees. Investors can bid for a minimum of 155 equity shares and in multiples of 155 equity shares thereafter.

The offer will give Rs 819.24 crore to the government but the company will not get any money from this offer.

ICICI Securities, IDBI Capital Markets & Securities and SBI Capital Markets are appointed as book running lead managers to the issue.

RailTel is a Mini Ratna central public sector enterprise that was incorporated in September 2000, with the aim of modernising the existing telecom system for train control, operation and safety. It is one of the largest neutral telecom infrastructure providers in India.

The firm generates additional revenues by creating nationwide broadband and multimedia network by laying optical fiber cable by using the right of way along railway tracks.