IPO Market: As many as thirteen companies are sitting with approvals from the capital markets regulator (SEBI) for their IPOs (initial public offering), which could result in over Rs 13,000 worth of inflows into the primary market.
IPO News: As many as thirteen companies are sitting with approvals from the capital markets regulator (SEBI) for their IPOs (initial public offering), which could result in over Rs 13,000 worth of inflows into the primary market. Go Airlines, Pradeep Phosphates, and Fincare Small Finance Bank are some of the companies that could soon come with the public issues, according to a note by Axis Capital. So far this financial year, twenty-four companies have successfully made their stock exchange debuts. Of these, only 6 are trading with losses while others have helped investors pockets healthy returns.
Largest upcoming IPOs
Go Airlines – Go Airlines received SEBI’s nod for their IPO on August 26. The company is planning to raise around Rs 3,600 crore which will entirely be a fresh issue of equity shares. The low-cost airline is one of the fastest-growing in the country and would be the fourth aviation stock to list on the bourses, along with SpiceJet, IndiGo, and Jet Airways. Go Air’s IPO will have 75% allocation towards Qualified Institutional Buyers while NIIs and Retail investors can bid for the remaining 15% and 10%, respectively.
Utkarsh Small Finance Bank – The lender was given a go-ahead by SEBI in June this year for its IPO which could be around Rs 1,350 crore, but the IPO is yet to hit the market. Utkarsh SFB’s IPO will be a mix of a fresh issue of equity shares and an offer for sale by promoter selling shareholders. The SFB could also go for a pre-IPO placement of Rs 250 crore.
Fincare Small Finance Bank – Another small finance bank that could enter the primary market to raise funds is Fincare Small Finance Bank. The lender has received SEBI’s approval to raise Rs 1,330 crore of which Rs 330 crore will be a fresh issue of equity shares and the remaining Rs 1,000 crore will be an OFS. Utkarsh SFB could also go for a pre-IPO placement of Rs 200 crore. The bank received SEBI approval in the last week of July.
Paradeep Phosphates: The company is the latest among the lot to get SEBI’s green signal for its IPO. Pradeep Phosphates is looking to raise more than Rs 1,255 crore from the market through a fresh issue of equity shares worth Rs 1,255 crore and an OFS of 12 crore Equity shares by selling shareholders. The company is primarily engaged in manufacturing, trading, distribution and sales of a variety of complex fertilizers. The IPO of Pradeep Phosphates will have half the IPO reserved for QIBs while Retail investors get to bid for 35% of the IPO size and NIIs get 15%.
Supriya Lifescience – The API manufacturer received SEBI’s nod to proceed with its IPO in July this year. The IPO is likely to consist of equity shares aggregating upto Rs 1,200 crore, of which Rs 200 crore will be a fresh issue of equity share and Offer for Sale of equity shares upto Rs 1,000 crore by Promoter Selling Shareholders.
Other upcoming IPOs
Apart from the above-mentioned 5 IPOs, Axis Capital highlighted that there are 8 more companies, sitting with SEBI’s approval to raise funds, Northern Arc Capital, Chemspec Chemicals Shri Bajrang Power and Ispat, Jana Small Finance Bank, Medi Assist Healthcare Services, Shriram Properties, Arohan Financial Services, and Seven Island Shipping are some of the other companies that could enter D-Street soon to raise funds through their IPOs.