Upcoming IPOs to watch out for in December 2021: From Anand Rathi Wealth, Shriram Properties to VLCC expect to raise over Rs 10,000 crore collectively
IPOs in December 2021: The IPO lane will continue to be busy in December as 10 companies have lined up initial share-sale plans worth more than Rs 10,000 crore, merchant banking sources said on Wednesday. Moreover, the initial public offerings of Star Health and Allied Insurance and Tega Industries are currently open for public subscription. This comes after 10 firms successfully concluded their initial public offerings (IPOs) in November. Let us go through the list of IPOs for the month of December:
Anand Rathi Wealth
Anand Rathi Wealth opens for subscription from today, December 2, 2021. The three-day Rs 660-crore initial public offer will conclude on December 6, 2021. Anand Rathi Wealth has fixed a price band of Rs 530-550 per share for the IPO. The initial share sale is entirely an offer for sale (OFS) of 1.2 crore equity shares by promoters and existing shareholders. Source: Anand Rathi Twitter
Other companies who have firmed up their IPO plans
As per PTI report, merchant banking sources said that Global Health Ltd, which operates and manages hospitals under the Medanta brand, pharmacy retail chain MedPlus Health Services and Healthium Medtech are the companies who have also firmed up their IPO plans. Source: Reuters
Other companies
The PTI report further informed that the merchant bank sources also said that Metro Brands, Shriram Properties, AGS Transact Technologies, Shri Bajrang Power and Ispat and VLCC Health Care may also float their public issues in the period under review. Source: PTI
IPOs will raise more than Rs 10,000 crore collectively?
Investment bankers said these companies will raise more than Rs 10,000 crore collectively. The companies are raising funds to support business expansion plans, to retire debt and for general corporate purposes. Some of the IPOs are an offer for sale (OFS), where private equity players or the promoter wants to cash out part of their holding. Source: PTI
What does expert think?
Prateek Singh, founder and CEO of LearnApp.Com, attributed the impressive pipeline to the bull run in the equity markets. "The best time for any company to go for an IPO is during the Bull market, which is also the reason why many companies are going for a public listing at this time. Companies look to tap into the sentiment from the public markets at such opportune times and are highly successful," he said. Further, initial share-sales are receiving tremendous applications from the investors and IPOs have been subscribing multifold times. This has pushed companies to raise funds through IPO. He further said the trend will continue and more tech companies will try to go public in the immediate future until the market calms down and moves downward. "So, if the markets fall in the future, the IPOs will also reduce," he added. Source: Pixabay
IPO performance in 2021 so far
As per the PTI report, so far in 2021, as many as 51 companies have launched their IPOs to raise over Rs 1 lakh crore, according to analysis of data with exchanges. Apart from these, PowerGrid InvIT, the infrastructure investment trust (InvIT) sponsored by the Power Grid Corporation of India, mopped-up Rs 7,735 crore through its IPO and Brookfield India Real Estate Trust raised Rs 3,800 crore via its initial share-sale. The fundraising so far this year is way higher than the Rs 26,611 crore collected by 15 companies through initial share-sales in the entire 2020. Such impressive fundraising through IPOs was last seen in 2017 when firms mobilised Rs 67,147 crore through 36 initial share-sales. Source: PTI