The Indian IPO market is set to witness major action in the coming week as 13 firms plan to raise Rs 8,644 crore via their maiden offerings. Amongst these, four companies gear up to launch main-board issues to collectively raise Rs 8,390 crore. Further, nine Small and Medium Enterprises (SMEs) are also scheduled to make their debut and raise up to Rs 254 crore in the week.
The IPO activity in the Indian markets is set to be very hectic in the next two weeks, analysts noted. These mainboard IPOs include Bajaj Housing Finance, P N Gadgil Jewellers, Kross Ltd, and Tolins Tyres, reported PTI.
Bajaj Housing Finance aims to raise nearly Rs 6,560 crore from its maiden issue, while P N Gagil is expected to mobilise Rs 1,100 crore. Kross plans to raise Rs 500 crore and Tolins aims to raise funds worth Rs 230 crore.
Bajaj, Kross, and Tolins are scheduled to open their issues for subscription from September 9-11, while P N Gadgil will accept bids for its issue during September 10-12.
Sharing expectations from the IPO markets, Munish Aggarwal, MD Head - Equity Capital Markets, Equirus, said that the next two weeks are projected to be very hectic in terms of issuance activity in the markets. “While this seems to indicate that the markets are overheating, we believe that this is more symptomatic of the attempt by most issuers who have valid Sebi observations and decent traction with investors to try and utilize their financials for Fiscal 2024 to launch IPOs,” the expert noted.
He explained that SEBI’s norms require firms to use financial data less than six months old in their Red Herring Prospectus (RHP) at the time of the IPO. Therefore, he added, that September becomes the last eligible month where firms would be allowed to use their financial statements from FY24 to launch their maiden issues.
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