According to PRIME, the mobilisation was dominated by 85 initial public offers (IPOs), which collectively raised Rs 41,358 crore or 79% of the total amount, compared to 76 IPOs in the preceding year, which mobilised Rs 23,706 crore. Follow-on public offerings (FPOs) by listed companies too witnessed an increase. Compared to 9 such companies with a total offer of Rs 1,287 crore in the preceding year, the year 2007-08 witnessed 6 listed companies raising Rs 10,895 crore. The largest FPO during the year was from ICICI Bank (Rs 10,044 crore).
However, according to Prithvi Haldea, managing director, PRIME Database, the mobilisation in the year could have been higher but for the two secondary market crashes during the year, which forced the deferment of IPOs and also due to lack of PSU divestments.
Haldea added, Quality continued to be the hallmark of the years offerings. The quality factor was evident through the near-domination of existing companies, in most cases with well-known promoters. Clearly, there was no market for IPOs from greenfield projects or from new promoters - some thing that had dominated all past primary market booms.