Two dozen Indian companies line up Rs 25,000 crore public offers
The IPO market will continue to see hectic activity as over a dozen firms are awaiting Sebi's nod to launch their public issues. Besides, higher valuation of secondary market would attract investors towards IPOs.
The IPO lane seems to get busier as over two dozen companies have lined up initial share sale plans worth Rs 25,000 crore in the coming months, largely to fund their expansion projects and working capital requirements. Hindustan Aeronautics, ICICI Securities, Barbeque-Nation Hospitality and Flemingo Travel Retail are among the names that plan to launch share-sale offers in the coming months.
Most of these companies plan to utilise initial public offer (IPO) proceeds for business expansion as well as working capital requirements, as per the draft papers filed with capital markets regulator Sebi. Besides, some of the firms believe the listing of equity shares on bourses will enhance their brand name and provide liquidity to existing shareholders.
Barbeque-Nation Hospitality, ICICI Securities, Bharat Dynamics and Indian Renewable Energy Development Agency -- have secured Sebi's go-ahead this year to float their public offers.
In addition, 20 companies including RITES, Mishra Dhatu Nigam Ltd, Bandhan Bank, IndoStar Capital Finance, Nazara Technologies and Route Mobile are awaiting the regulator's approval to float IPOs.
Together, these companies are expected to raise nearly Rs 25,000 crore, merchant banking sources said. Moreover, five companies, including Newgen Software Technologies and Amber Enterprises India, have already hit the capital markets
According to experts, the IPO market will continue to see hectic activity as over a dozen firms are awaiting Sebi's nod to launch their public issues. Besides, higher valuation of secondary market would attract investors towards IPOs.
The year 2017 saw 36 companies collectively raising over Rs 67,000 crore trough their respective IPOs, making it the best year. The previous high being in 2010 when Rs 37,535 crore was garnered, almost half the amount.
Experts said that proactive regulatory environment coupled with uplifted investor sentiment has helped the IPO market.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
SBI 444-day FD vs Union Bank of India 333-day FD: Know maturity amount on Rs 4 lakh and Rs 8 lakh investments for general and senior citizens
Power of Compounding: Salary Rs 25,000 per month; is it possible to create over Rs 2.60 crore corpus; understand it through calculations
New Year Pick by Anil Singhvi: This smallcap stock can offer up to 75% return in long term - Check targets
Power of Compounding: How many years it will take to reach Rs 2 crore corpus if your monthly SIP is Rs 3,000, Rs 4,000, or Rs 5,000
Retirement Calculator: 40 years of age, Rs 50,000 monthly expenses; what should be retirement corpus and monthly investment
10:51 AM IST