Perspective: The IPO Boom

In this episode of the Perspective Prog. based on The IPO Boom. Driven by excess liquidity and a rising stock market, India Inc has already raised approximately 72000 Crore rupees through IPOs this year, the highest amount in a nine-month period over the last 20 years. With several more IPOs of companies such as Paytm parent One97 Communications and policybazaar parent PB Fintech lined up in the first half of November to raise over Rs 27,000 crore collectively the overall figure is likely to cross 1 Lakh crore by the end of this year. This is a huge jump in comparison to last year when 43 Indian firms had raised approximately 30000 crore from IPOs. In fact such hectic fundraising was last seen in 2017 when companies raised Rs 67,147 crore through 36 IPOs. The markets are majorly witnessing a boom in tech start-ups that cater to the internet market. Sebi has recently made it more appealing for such firms to list their shares in the domestic indices. In its State of the Indian Economy report for the month of August, the Reserve Bank of India had also said that 2021 could turn out to be India’s year of IPOs. So what is the reason behind the IPO Boom’ this year, how are these issues performing on the market after listing and what kind of value addition do they bring to the table.

1. Pankaj Mathpal, Founder & CEO, Optima Money Managers
2. K. Yatish Rajawat, CEO, Centre for Innovation in Public Policy
3. Madhukar, Former Member, SEBI

Anchor: Vishal Dahiya

Producer: Amit Srivastav, Sagheer Ahmad

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