- In the next six months, digital companies will raise Rs. Will raise Rs 2,000 crore
The calendar year 2021 has proved to be a historic boom year for the Indian stock market. On the other hand, the primary market (IPO) has also seen a boom during this year. The pace of IPO issuances slowed in the second half of the year after massive fundraising in the first half of the year. However, IPOs of many well-known companies will enter the capital market in the near future. Among them, investors are also waiting for LIC's mega IPO.
Companies in the sector are on the verge of expansion due to the increase in digital consumption in the country during the Corona era. The data shows that digital companies are turning to raising money through initial public offerings (IPOs) to undertake an expansion program. According to one estimate, digital companies are bringing in ૧૦ 10 billion (Rs 2,000 crore) in payments over the next six months. The rise in digital operations is also attracting investors to invest in technology companies.
Indian companies have raised ૧૦ 10.50 billion so far this year through the first-ever sale of shares, according to the data. Given this pace, it is likely to cross the ૮ 11.50 billion mark in 2016.
It may be mentioned here that during the month of August, about 6 companies have filed prospectus with SEBI for bringing IPO. Which is the record for most applications in the last 15 years. However, since then, the process has slowed down and a company is currently filing documents for an IPO every week / ten-fortnight. According to available data, the number of companies filing documents with SEBI to bring in IPOs has increased significantly this year. Earlier, in February and December 2009 and September 2010, eight companies had filed documents with SEBI to bring in IPOs. That number had to rise to seven in August this year.
However, the important thing is that the stock market / Sensex has seen a retreat in the past in the period following the year in which IPOs were seen. In the one-year period since September 2010, the Sensex has lost 15 per cent. Companies also distanced themselves from IPOs. The Sensex had plummeted in the following year after a flurry of IPOs in the 30 months from August 2008 to January 2008.
Ghodapur has also been seen in IPOs this year, market study circles said. Seeing this, the market class is sitting on the meat to see how the market will move in the near future.
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