Flood of IPOs: 13 companies file draft papers with SEBI in a single day

India IPO

Updated Oct 03, 2024

A significant wave of IPOs is set to hit the market. Companies, including Aditya Infotech, Vikram Solar, and Varindera Constructions, apart from others are expecting to raise funds. They have all filed the draft papers with SEBI in a single day.

Flood of IPOs: 13 companies file draft papers with SEBI in a single day

A significant wave of IPOs is set to hit Dalal Street. Companies, including Aditya Infotech, Vikram Solar, and Varindera Constructions, are set to go public and raise funds. They have all filed the draft papers with SEBI in a single day and are expected to raise ₹8000 Cr approx.

The upcoming IPOs are across varied sectors. They have different deal sizes and combinations of offer-for-sale and fresh issues.

The surge in IPO activity comes at a time when the primary market is experiencing heightened interest. 62 companies have already raised approx. of ₹64,000 Cr in 2023. This was a notable increase from the previous few years.

Some important factors that drove this momentum were stronger macroeconomic conditions, significant inflows within domestic mutual funds, and sector-specific growth.

Ajax Engineering, Vikran Engineering, Midwest, Rahee Infratech, Viney Corporation, Jaro Institute of Technology Management and Research, Sambhv Steel Tubes, All Time Plastics, Dev Accelerator, and Scoda Tubes are some of the other companies that have joined the race of going public.

All these companies are tapping into the primary market to raise funds to retire debt, expand, support the working capital requirements, and offer exit routes to the existing shareholders.

Vikram Solar is planning the IPO with a mix of ₹1500 Cr fresh equity and ₹1.74 Cr OFS. Aditya Infotech, on the other hand, has aimed to raise ₹1300 Cr with ₹500 Cr fresh equity and ₹800 Cr OFS, while Varindera Construction has targeted to raise ₹1200 Cr with ₹900 Cr fresh equity and ₹300 Cr OFS. Other companies, too, are looking forward to capitalizing on the favorable market.

Moving ahead, more than a half dozen companies, including Swiggy, NTPC Green Energy, and Hyundai Motor India, are preparing their IPO launch, seeking ₹60,000 Cr funds raised. With this notable rise, industry experts have predicted that unless there is any unforeseen global economic disruption, the IPO market is expected to maintain an upward trajectory in the year 2025.