The year 2024 has been a significant one for IPOs in India, with numerous companies capitalising on strong market conditions to raise capital. Here’s a look at the trends and standout performers so far this year.
Surge in IPO Activity Post-Pandemic
After a slowdown during the COVID-19 pandemic, many companies resumed their fundraising efforts in 2023. This momentum has carried into 2024, with 209 companies, including both SMEs and large corporations, raising funds through IPOs in just the first eight months of the year. The increased participation of Indian retail investors has been a key driver of this surge.
Foreign Investors Flock to Indian IPOs
The robust IPO activity has attracted foreign portfolio investors (FPIs), who have shifted focus from the secondary market to the IPO market. As of August 19, FPIs have invested ₹53,568 crore ($6.4 billion) in Indian IPOs, marking the highest level of investment in four years. While FPIs have been selling in the secondary market, they remain strong buyers in the primary market.
Mainboard IPOs Deliver Impressive Returns
Among the 47 mainboard IPOs listed in 2024, 41 are trading above their issue prices. Notably, five of these IPOs have seen their stock prices more than double. Jyoti CNC Automation leads the pack, with its stock price increasing by 270% since its IPO in November. Other standout performers include Exicom Tele-Systems, Platinum Industries, Awfis Space Solutions, and Unicommerce eSolutions.
Looking Ahead: More IPOs on the Horizon
The strong performance of IPOs in 2024 suggests that the momentum is set to continue. With companies like Swiggy, PayU, and MobiKwik preparing to launch their IPOs, the tech startup space, in particular, is expected to see significant activity in the coming months.
Disclaimer: The views and investment tips expressed by investment experts on Sharepriceindia.com are their own and not those of the website or its management. Sharepriceindia.com advises users to check with certified experts before taking any investment decisions.
