IRFC Share Price in Focus; Sanctions ₹5,000 Cr Term Loan to MAHAGENCO; ₹3,000 Cr Disbursed

Indian Railway Finance Corporation Ltd (IRFC) has sanctioned a sizeable rupee term loan to Maharashtra State Power Generation Company Ltd (MAHAGENCO), strengthening its presence in infrastructure-linked financing beyond railways.

A significant portion of the approved amount was released immediately. The development comes alongside marginal gains in IRFC’s share price during market trade.

Details of the Loan Sanction

IRFC executed a rupee term loan agreement with MAHAGENCO for a total sanctioned amount of ₹5,000 crore.

The company confirmed that ₹3,000 crore out of the approved facility was disbursed on the same day, providing immediate financial support to the state-owned power utility.

Purpose of the Funding

MAHAGENCO, Maharashtra’s largest power generation company, plays a key role in meeting the state’s electricity requirements. The sanctioned funding is expected to assist the utility in addressing its operational and financial commitments, supporting continuity in power generation activities.

IRFC’s Role as an Infrastructure Financier

Established in 1986, IRFC functions as the dedicated financing arm of the Ministry of Railways. Over the years, it has mobilised long-term funds at competitive rates to support rail infrastructure development.

As a Navratna central public sector enterprise, IRFC has been expanding into diversified infrastructure financing.

Expanded Mandate Beyond Railways

IRFC’s mandate includes financing projects with direct and indirect linkages to the railway sector. 

These cover areas such as power generation and transmission, mining, fuel and coal, warehousing, telecom, hospitality, metro rail projects, freight corridors, ports, and multimodal logistics infrastructure.

Asset Quality and Financial Position

The company continues to report a strong asset quality profile, maintaining a zero non-performing asset portfolio. 

This track record supports its ability to engage with large public sector entities through long-term structured financing arrangements.

IRFC Share Price Performance

Shares of Indian Railway Finance Corporation Ltd were trading at ₹124.85 around 12:20 PM on January 1, 2026, marking a gain of ₹0.23 or 0.18% over the previous close of ₹124.62.

The stock opened at ₹125.31 and moved between a high of ₹126.22 and a low of ₹124.01 during the session. The volume-weighted average price stood at ₹125.17.

Read More: Banks’ Gross NPAs Expected to Decline Further by March 2027: RBI.

Conclusion

The term loan sanction to MAHAGENCO highlights IRFC’s growing role as a diversified infrastructure financier. With a strong balance sheet and stable asset quality, the company continues to support key public sector utilities while gradually broadening its financing footprint beyond the railway sector.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

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