IPO market remains tepid :Report
08/09/2014 16:36
The bullish sentiment in the secondary market amid a surge in Sensex and Nifty to record highs in recent weeks has failed to revive the Indian IPO market which remains sluggish as companies stay away from raising funds via initial public offerings. According to a PTI report, 23 companies have collectively raised Rs 538 crore from initial public offerings so far in 2014. Further, most big companies have remained on the sidelines as far as tapping the capital market is concerned as small and medium enterprises (SMEs) have accounted for majority of IPOs in 2014. Out of the 23 companies that have raised funds via IPOs this year, the BSE and the NSE have hosted only two IPOs in 2014,.ie. Wonderla Holidays and Snowman Logistics. Wonderla Holidays, an amusement park operator garnered Rs 181 crore through an IPO in April while Snowman Logistics, which is an integrated controlled logistics services provider, mopped up Rs 197.40 crore. There are only five more issues in the pipeline as of now which include Lavasa Corp, Adlabs Entertainment, GMR Energy, Sharda Cropchem and Monte Carlo Fashions. Some companies such as Jyoti CNC Automation, Shemaroo Entertainment, Great Eastern Energy Corp, Inox Wind and NCML Industries are waiting for the right time to hit the market despite receiving the SEBI nod.
08/09/2014 16:36
The bullish sentiment in the secondary market amid a surge in Sensex and Nifty to record highs in recent weeks has failed to revive the Indian IPO market which remains sluggish as companies stay away from raising funds via initial public offerings. According to a PTI report, 23 companies have collectively raised Rs 538 crore from initial public offerings so far in 2014. Further, most big companies have remained on the sidelines as far as tapping the capital market is concerned as small and medium enterprises (SMEs) have accounted for majority of IPOs in 2014. Out of the 23 companies that have raised funds via IPOs this year, the BSE and the NSE have hosted only two IPOs in 2014,.ie. Wonderla Holidays and Snowman Logistics. Wonderla Holidays, an amusement park operator garnered Rs 181 crore through an IPO in April while Snowman Logistics, which is an integrated controlled logistics services provider, mopped up Rs 197.40 crore. There are only five more issues in the pipeline as of now which include Lavasa Corp, Adlabs Entertainment, GMR Energy, Sharda Cropchem and Monte Carlo Fashions. Some companies such as Jyoti CNC Automation, Shemaroo Entertainment, Great Eastern Energy Corp, Inox Wind and NCML Industries are waiting for the right time to hit the market despite receiving the SEBI nod.
