The figure raised from the IPO is 4.5 times more than the previous year. Companies raised Rs 26,613 crore through IPO in the year 2020
Record amount raised from IPO in 2021
The year 2021 will be known for the IPO. Not only this year a large number of new companies entered the market. Along with this, he has also got a great response from the investors. According to a report, 63 companies have raised Rs 1.18 lakh crore this year, which is the highest figure for any year for the primary market.
Companies raised 4 times the amount compared to last year
This year, 63 companies in the primary market have raised a record Rs 1,18,704 crore through their initial public offerings (IPOs), a report by Prime Database, 4.5 times the number of IPOs raised over the previous year. is more. In the year 2020, 15 companies had raised Rs 26,613 crore through IPO. At the same time, almost double the amount has been raised so far this year against Rs 68,827 crore raised from IPO in the year 2017. Pranav Haldia, managing director of Prime Database Group, said that the IPO boom was led by new-age loss-making technology start-ups, in which retail companies also participated enthusiastically. Haldia said the biggest IPO of Rs 18,300 crore so far this year was of Paytm’s parent company One97 Communications. After this, online food delivery company Zomato had an IPO of Rs 9,300 crore. The average IPO issue so far this year stood at Rs 1,884 crore.
Excellent response from investors
According to the report, out of the IPOs of 59 companies, 36 companies got ten times the subscription, in which the IPOs of six companies also got subscription up to 100 times. At the same time, eight IPOs got more than three times subscription while the remaining 15 companies’ IPO got one to three times subscription. The most important thing of this year has been the response of retail investors to the IPO. In more than 30 IPOs during the year, retail’s share has been subscribed 10 times or more. On the other hand, in issues like Star Health, where the issue did not get full subscription, the retail part was also full.
New companies made investors’ earnings
Very high listing gains have been seen in the market this year. Latent Views, Tattva Chintan had more than doubled on day one. At the same time, within a year, the amount of investors in 14 newly listed companies has increased by two to four times. However, investors in Star Health, One 97 Communications, Car Trade, Suryoday Small Finance Bank are currently suffering losses.