The Queensland State Government in Australia has unveiled plans to raise about A$5.05bn (US$4.9bn) through an initial public offering of its rail freight operator, QR National .

The state said it will sell between 1.46 billion and 1.68 billion shares at an offer price of A$2.50 ($2.40)-A$3 ($2.90) per share, but individual retail investors would be required to pay about A$2.80 (US$2.70) for every share.

The overall value is estimated to be between A$6.1bn (US$5.96bn) and A$7.32bn (US$7.1bn), where the state government intends to raise between A$3.66bn (US$3.57bn) and A$5.05bn (US$4.9bn) in the sale.

QR National expects the public float to be largely supported by demand from China and India for Australian resources.

It will begin trading on 22 November on the Australian Stock Exchange, while trading on a full settlement basis will start from 7 December this year, according to investinaustralia.com.

QR National transports more than 200 million tons of coal from Australian mines to ports for shipping.

The Queensland Government will hold 25%-40% of the stake.