Bengaluru
As many as 44 companies raised total funds of about Rs 1,01,500 crore through initial public offerings (IPOs) for nine months ended FY22, and the total subscription stood at over Rs 27 lakh crore, according to KPMG’s new study titled ‘IPOs in India – IPOs during a global pandemic’.
A total of 84 IPOs hit the capital market during FY20 till 9 months of FY22, and 81 IPOs cumulatively raised Rs 1,52,400 crore in 9M FY 2021-22, FY 2020-21 and FY 2019-20. The study says the IPOs in FY 2020-21 performed better on listing day when compared to the ones in FY20 and FY22(till December 31).
A total of 44 companies that got listed in 9M FY22 witnessed an average of 26.2 per cent with 17 companies returning more than 25 per cent of return.
The study also points out that the equity market in the country have witnessed 44 listings surpassing the total listings in FY21 and FY20, and that this is not surprising given the traction in the capital markets and the positive sentiments driven by the vaccination drives.
FSN E-Commerce Ventures’ Nykaa, Paytm, Zomato and PolicyBazaar, among others were listed in 2021.
Primary market activity in FY22 carried the momentum from the second half of FY21 with businesses across the spectrum going public.
KPMG said that retail investors, alongside institutional investors, provided the required amount of liquidity in the market through SIP contributions to asset management firms.
As many as 13 out of the 44 listings in 9M FY22 witnessed negative listing gains with four witnessing double-digit decline. The country’s total unicorn count increased by 44 in 2021, with these 44 valued at USD 94.37 billion.
The study says that a few of the prominent unicorn listings in 2021, have witnessed corrections in the range of 30 to 50 per cent compared to their listing prices.
