23 companies line up IPOs worth ₹44,000 crore in March quarter

A substantial portion of the total fundraising will be received by technology-driven companies.

This comes after 63 companies broke the record 1.2 lakh crore in 2021 through an initial public offering (IPO), even as the gloom of the pandemic shadowed the broader economy.

Apart from these firms, POWERGRID InvIT (Infrastructure Investment Trust) delisted 7,735 crore through its IPO, while Brookfield India Real Estate Trust raised 3,800 crore through REITs (Real Estate Investment Trust).

Excess liquidity, huge listing gains and increased participation from retail investors have created continued excitement in the IPO market in 2021.

Among the firms that are expected to raise funds through their IPOs during the March quarter are hotel aggregator OYO ( 8,430 crore) and supply chain company Delhivery ( 7,460 crore), merchant bankers said.

In addition, Adani Wilmar ( 4,500 crore), Emcure Pharmaceuticals ( 4,000 crores), Vedanta Fashion ( 2,500 crore), Paradip Phosphate ( 2,200 cores), Medanta ( 2,000 crores) and Ixigo ( 1,800 crore) is expected to initiate their initial share-sale, he added.

Merchant bankers said Scanray Technologies, Healthium Medtech and Sahajanand Medical Technologies may also bring their IPOs during the period under review.

These companies are raising funds for organic and inorganic growth initiatives, debt payments and exits to existing shareholders.

Eklavya, Founder, Recour Club, said, “Initial public listings by companies are done through the public to raise capital thereby increasing the liquidity of the stock as well as helping in finding valuations.”

LearnApp.com founder and CEO Prateek Singh said tech companies now want to expand globally and will need capital to do so; And this capital is being raised through IPO.

Besides, anchor investors in these companies are waiting for exit to get reward, this exit is being given to anchor investors through IPO route, he said.

The ongoing activity in the primary market comes at a time when SEBI has decided to tighten IPO norms to deal with extreme volatility in stock prices on the day of listing.

These measures include imposing a cap on the amount of issue proceeds a company can use for undisclosed inorganic growth, as well as limiting the number of shares that can be offered by selling to shareholders and locking of shares subscribed by anchor investors. -Includes boosting up.

Yash Ashar, Partner and Head (Capital Markets) at Cyril Amarchand Mangaldas, said: “The inability to raise funds for future undisclosed acquisitions will impact some of Unicorn’s capital-raising plans, particularly, where such companies have no other access to capital.” and where the existing shareholders are not willing to sell.”

These amendments are primarily a response to several IPOs in 2021, he added.

“These proposed changes to the law may have long-term implications. These changes may affect the plans of issuers planning to list on Indian stock exchanges,” he said.

This story has been published without modification in text from a wire agency feed. Only the title has been changed.