Primary market performance attractive:In just five months of 2022, capital accumulation through IPOs increased by 43%

Primary market performance attractive:In just five months of 2022, capital accumulation through IPOs increased by 43%

  • Globally slowdown, companies show enthusiasm for IPOs despite disappointment in equity markets

The performance of the primary market so far this year has been impressive amid massive volatility in the stock market. In the current calendar year till May, 16 companies have raised Rs. 40311 crore fund has been collected. The collected Rs 439 crore is more than Rs 17496 crore. According to market regulator SEBI, a total of 52 companies have so far filed drafts before SEBI for IPOs in 2022. So far this year, half of the total funds raised from the primary market have been raised by Rs. 21000 crore has been collected by LIC.

Investors have lost capital in most of the IPOs

with 21 of the 31 IPOs held so far in the primary market listing. But 19 of them have been negative in trading. The valuation of some of them has dropped by 33 per cent. As a result, it is time for investors to lose their capital.

IPO craze

slows down The IPO craze cooled down after about 10 IPOs were held during the first four months of the year. Only four IPOs were held in May. There have been 6 IPOs so far in June.

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