September is the busiest month in 14 years in terms of IPO, 54% of the allotted shares are sold within 1 week of listing

IPO Next Week: The month of September is going to be the busiest in the last 14 years in terms of IPOs in the mainboard and SME segment. So far this month, more than 28 companies have entered the market. The Reserve Bank of India (RBI) said this in the bulletin on Friday. The article published on the state of the economy in the bulletin said that changes are taking place in the financial markets. It said, “There has been an increase in interest in various entities including domestic mutual funds regarding the initial public offerings (IPOs) of SMEs in the primary equity market. Their IPOs are getting multiple subscriptions.”

The busiest month in 14 years

Citing a study by market regulator Sebi, the article said 54 percent of the IPO shares allotted to investors were sold within a week of listing. “September is set to be the busiest month for IPOs in 14 years. More than 28 companies have hit the market so far this month,” the article said. Raising resources through IPOs has remained strong so far in 2024, as India saw the highest number of IPOs (27 percent by volume) globally in the first half of 2024, with SME public offerings leading the way, the article said. India’s contribution to the total amount raised through IPOs is 9 percent, it said.

9 IPOs coming next week

There is going to be a lot of activity in the primary market next week as well. A total of 9 new IPOs are going to be launched in the coming week. These include 2 Mainboard IPOs and 7 SME IPOs. These IPOs will be launched between 23 and 27 September.