Anil Singhvi, Managing Editor, Zee Business, says, people are eagerly waiting for LIC’s IPO, which will be included among India’s top three companies on the day of its listing. During a candid radio chat with RJ Salil Acharya, Radio City, 91.1 FM, Mumbai, Mr Singhvi said, people, can invest in the IPOs of Laxmi Organic and Anupam Rasayan for listing gains. 

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At the start of the radio chat, RJ Salil said, once again the markets are taking a stance as you said that there will be some profit booking and then they will continue to grow and will not take a pause. It’s looking very good for us. But nowadays, I am getting regular calls from my brokers saying that such an IPO is coming or that and the grey market premium is very high, which means getting good prices. SO, do you think that more IPO comes when the market is performing well, and should we invest here if you want to make some short-term money if you get the allotment?

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To this, Mr Singhvi said, of course. The first thing is that the IPO market is flourishing because there is a lot of money is there in the system and people have to invest money wherever they feel that the share prices will not go down after they will buy it, that is, if I will put money in this IPO then it will list above. This means, there is less risk of lower listing or such fear is absent, then people go bullish in such cases, for instance, MTAR IPO was subscribed 200 times in the recent past. So, many IPOs are scheduled to come, and many IPOs are coming in March due to an important reason and that is the deadline of March 31. Because, if the companies will bring IPO after March 31, then they will have to submit accounts till March 31 in the SEBI and then get them approved. This means, the process will take a time of 2-3 months as the accounts will be prepared and submitted, then an audit report will be submitted. This is why the companies thought that the market is good, and everyone is investing money and it is the right time to bring an IPO and get the money. 

Continuing the chat, RJ Salil asked, does the money that comes from the IPO make a difference in the stock market or it is just limited to that individual stock? Mr Singhvi in his reply said, it makes an impact on individual stock and later when the stocks are listed after the IPO and trading starts in it. It is a fact that the market is broad-based and if new and good companies come and get themselves listed, for instance, people are waiting this year for the LIC’s IPO. If LIC comes then the possibilities are that it will be included among the top three companies of India, as soon as it is listed. So, the larger the company, the higher is investors’ interest. Many IPOs are ready to come, and you will have great opportunities to invest money in those. 

RJ Salil in his next question said, in this high liquidity situation, where we should invest if assume that we can get it in listing. Which are those two stocks? Mr Singhvi in his reply said, the first thing is that everyone has to do is to apply just a single lot, which is an application of up to Rs 15,000 in the retail category because a lot of subscription is happening in the IPO. There is no benefit of blocking two lakh rupees, so one should put an application of Rs 15,000 for a single lot. Secondly, generally, when an IPO opens for subscription, I make a detailed analysis of the same at 8 am on Zee Business. But for your listeners, especially before Zee Business, I would exclusively talk about two IPOs that are scheduled to open and they are, Laxmi Organic and Anupam Rasayan. In both of these IPOs, you can make an application for one lot in the retail quota for the listing gains. Your listeners can invest in these two IPOs. 

After this RJ Salil asked, there are two types of categories, HNI and retail. So, it is so for the High Network Individuals that a certain lot is booked and fixed for them due to which it is less for us. And Mr Singhvi said, it is not so, nothing is fixed. But it is so that they make an application in big amount, they borrow money, and they are quite leveraged application. It is the work of reputed people. For the common investors, it is good that they make an application for a single lot and then till the IPO allotment is received, should pray to God requesting him to help in getting it.