IPOs have raked in nearly $180 billion so far in 2020 — Here’s a look at some other companies that may go public this year
- From jewellery maker, Kalyan Jewellers to an Indian Government’s “Miniratna” RailTel Corporation, a whole range of companies are looking to get listed on Indian stock exchanges this year.
- According to Geojit Financial Services, as many as 80 companies have approached SEBI to tap the primary market.
- These are likely IPO candidates that may list this year.
AdvertisementThe IPO market seems to be piping hot in 2020 compared to the same time last year. Despite the pandemic and the economic slowdown, IPOs worth ₹179.8 billion have already hit the market in the past ten months compared to ₹126.87 billion worth IPO in 2019. And as many as 80 companies have approached SEBI in the current fiscal year to get the necessary approvals for IPOs, according to Geojit Financial Services.
The recent IPO bonanza made a lot of money for investors. Jyoti Roy, equity strategist at Angel Broking believes that is because “the investors have been willing to invest in companies with good businesses and reasonable valuations.”
The IPO bonanza may not have ended yet. From jewellery maker, Kalyan Jewellers to an Indian Government’s “Miniratna” RailTel Corporation, a whole range of companies are looking to get listed on Indian stock exchanges this year.
Let’s take a look at some of the upcoming IPOs scheduled this year:
Equitas Small Finance Bank
The Chennai-based microfinance lender, Equitas Small Finance Bank (SFB), is looking to raise ₹532 crore from the IPO. The initial public offering will open on October 20 and will remain open till October 22.
The company has appointed JM Financial, Edelweiss Financial Services, and IIFL Securities as its book running lead managers to the issue.
RailTel’s ₹700 crore initial public offering
The state-owned RailTel Corporation has filed a Draft Red Herring Prospectus (DRHP) with the market regulator Securities and Exchange Board of India (SEBI) for an initial public offer of up to 8.66 crore equity shares. The company is likely to raise ₹700 crore through the IPO, a complete offer for sale by the Central government.
It has appointed ICICI Securities, IDBI Capital, SBI Capital Markets as the book running lead managers to the issue.
AdvertisementESAF Small Finance Bank
The Kerala-based ESAF Small Finance Bank had filed DRHP in January and subsequently got the approval from SEBI at the end of March. However, the bank delayed its initial public offering due to the volatile market conditions and said it would take a call on ₹976-crore initial public offering (IPO) after September.
The ₹976-crore IPO of ESAF Small Finance Bank will comprise a fresh issue worth ₹800 crore and an offer for sale (OFS) aggregating up to ₹176.2 crore.
Kerala based Jewellery maker, Kalyan Jewellers, is also expected to launch a ₹1,750 crore initial public offering (IPO) in November.
The ₹1,750 crore IPO will be the largest in its sector. The issue will consist of a fresh fundraise of ₹1,000 crore and offer of sale by promoter TS Kalyanaraman and private equity firm Warburg Pincus of ₹750 crore.
AdvertisementOne of India'sIndia's fastest-growing food chains, Burger King, is also in line to raise as much as ₹1,000 crore by initial public offering. The firm aims to utilise the funds to double the number of restaurants by 2025, where it currently operates 216 in India, as per its DRHP. Burger King IPO is also likely to hit the market in November this year.
The ₹5,450 crore IPO of Uttar Pradesh-based, one of the largest private-sector thermal generation companies, Bajaj Energy, is expected to hit the market by the end of this year. The IPO comprises fresh issuance of shares aggregating up to ₹5,150 crore and an offer for sale of scrips up to ₹300 crore by the promoter Bajaj Power Ventures, according to its DRHP.
Some of the companies coming up with IPOs include MilkBasket, Lodha Developers, Anand Rathi Wealth Management, Barbeque Nation, NSE, Indian Railways Finance Corporation, among others.
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