A flood of initial public offerings is set to hit the market between October and December.
As many as 35 companies are planning to raise a record ₹80,000 crore in the third quarter if the market remains stable, bankers said. In comparison, the previous record for a calendar year was in 2017 when 36 companies raised ₹67,147 crore.
Paytm, Aadhar Housing Finance, Star Health & Allied Insurance, Policybazaar, Emcure Pharma, Adani Wilmar, and Nykaa are among those planning to raise between ₹4,000 crore and ₹16,600 crore in IPOs. Paradeep Phosphates, Vedant Fashions, CMS Infosystems, and Northern Arc are also expected to tap the market to raise ₹2,000-2,500 crore in the December quarter, according to banking sources.
About 14 companies, including Paradeep Phosphates, Go Airlines, Ruchi Soya Industries, Arohan Financial Services, Utkarsh Small Finance and Fincare Small Finance, have already received approval from capital markets regulator, Securities and Exchange Board of India, to raise around ₹22,000 crore, while a further 64 companies have filed their draft red herring prospectuses.
Market participants said they were not worried about more money being funnelled into the primary market or diverted from the secondary market, which is hovering near record-high levels.
Policybazaar and Nykaa are expected to launch their IPOs this month to raise ₹6,000 crore and ₹4,000 crore, respectively. Chennai-based standalone health insurance company Star Health also plans to launch its ₹7,000 crore IPO later this month.
Mobikwik, Paradeep Phosphates, CMS Infosystems, Northern Arc, Sapphire Foods, and Tarsons Products may also launch their IPOs in October, while digital payments firm Paytm expects to list in November. The homegrown fintech firm, backed by China’s Ant Group and Japan’s SoftBank, has filed for a Rs 16,600 crore IPO that will likely be the largest ever in India. It is pending regulatory approval.