This year IPO came down but gave good return of 50 percent to the investors
An analysis on the performance of the stock market said that the amount raised from IPOs has come down significantly this year. According to this, it has been successful in raising an amount of Rs 38,155 crore from 51 IPOs that have come up so far in 2022. 64,768 crore was raised from 55 issuances in the same period last year.
This year only eight issues have been sizable. Of these, the highest Rs 20,500 crore was raised from the Life Insurance Corporation of India (LIC) IPO. Last year, the issue of 33 companies raised over Rs 1,000 crore.
Bank of Baroda economist Dipanvita Majumdar has prepared this analysis report.
According to this, the IPO had given 74 percent returns till September 2021, while the Sensex had gained 20 percent by that time. But out of those IPOs of more than Rs 1,000 crore size, shares of 16 companies are currently being sold at low prices.
In the entire year of 2021, companies had raised Rs 1,21,680 crore from the stock market. But during this period, between April and October, the Sensex also jumped from 40,000 points to close to 60,000 points.
In comparison, the year 2022 has seen a lot of volatility in the stock market and is trading in the range of 50,000 to 60,000 marks.
The number of companies giving negative returns so far this year has been 40 per cent while 45 per cent companies have given more than 20 per cent returns.
One97 Communications (Paytm) is the top loser among companies with a loss of 67 per cent from the issue price. LIC’s share price has also fallen 31 percent from the issue price, while Zomato’s share has fallen by 20.7 percent.
On the other hand, the share of Adani Wilmar has climbed up to 205.6 per cent from the issue price. While Sona Precision (81.6 per cent), Patanjali Foods (106 per cent) and PowerGrid (38 per cent) have managed to take the lead.
