Shares of IRCON International fell further in morning trade on Thursday as the government is selling up to 16 per cent stake in the railway PSU.

On the BSE, the scrip opened on a weak note at ₹90, then fell further to ₹89.40. It was later trading at ₹90.55, down 0.60 per cent in a weak broader market.

On the NSE, the shares opened at ₹89.90, then inched lower to ₹89.30 and was later trading 0.82 per cent lower at ₹90.35.

Shares of IRCON International Ltd on Wednesday had closed with over 7 per cent losses.

Meanwhile, the Offer for sale (OFS) of IRCON was over-subscribed on the first day of issue by institutional investors. The issue opens for retail investors on Thursday.

The base issue size of the OFS is 10 per cent or over 4.70 crore equity shares, with a green-shoe option to retain over-subscription of 6 per cent or over 2.82 crore shares.

The total issue size, including a green-shoe option, comes to 16 per cent or over 7.52 crore shares.

“Offer for Sale of Govt shares in IRCON got a great response on day one. Issue subscribed 3.3 times of base size at a clearing price above the floor price by non-retail investors,” Department of Investment and Public Asset Management (DIPAM) Secretary Tuhin Kanta Pandey tweeted on Wednesday.

He said the government has decided to exercise the greenshoe option.

The government is selling up to 16 per cent stake at a floor price of ₹88 a share in IRCON International.

The government holds an 89.18 per cent stake in IRCON, which is under the Railways Ministry and into the construction of transportation infrastructure.