Year Ender 2024: This year IPO was a ‘dhoom’, 90 companies raised so many lakh crores

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The great boom in the stock market , the government’s focus on infrastructure and good GDP growth brought a lot of fun to the companies bringing IPOs this year. The initial public offering (IPO) market has seen a lot of boom in 2024. During the year, 90 companies have raised a record amount of Rs 1.6 lakh crore through IPOs. It is believed that the next year will also be very good for IPOs. This year, which has been exceptional for IPOs, not only reflects the confidence of the companies bringing the issue, but it also shows the confidence of the investors. Apart from listing gains, investors also expressed confidence in the capabilities of the companies for the long term. 

 

There was a lot of noise about the IPOs of these big companies 

This year, Hyundai Motor India’s IPO of Rs 27,870 crore came. This is the biggest IPO in the history of the country. The biggest IPO of this year was that of Hyundai Motor India (27,870 crores). It was followed by Swiggy (Rs 11,327 crores), NTPC Green Energy (Rs 10,000 crores), Bajaj Housing Finance (Rs 6,560 crores) and Ola Electric Mobility (Rs 6,145 crores). In contrast, the size of Vibhor Steel Tubes’ IPO was the smallest i.e. Rs 72 crores.

The IPO market will remain booming even in 2025

Market analysts believe that the activities of raising funds through IPO will remain rapid in the new year as well. Next year i.e. in 2025, the number of IPOs may surpass this year’s figure. Munish Aggarwal, Managing Director and Head of Equity Capital Markets, Equirus, said that 75 IPO documents are currently in various stages of approval. On this basis, we believe that in 2025, companies can raise up to Rs 2.5 lakh crore through IPO.

These companies can bring IPO in the new year

The companies whose IPOs are to come next year include HDB Financial Services’ proposed issue of Rs 12,500 crore. Apart from this, LG Electronics India’s issue of Rs 15,000 crore and Hexaware Technologies’ IPO of Rs 9,950 crore are also proposed. According to data available with the exchange, 90 IPOs came in 2024, through which Rs 1.6 lakh crore was collectively raised. This includes eight IPOs ending on 23-24 December. Apart from this, Unimec Aerospace and Manufacturing’s Rs 500 crore IPO is going to open on 23 December. Also, Vodafone Idea has raised Rs 18,000 crore through follow-on public offering (FPO). 

 57 companies raised funds through IPO

Last year i.e. in 2023, 57 companies had raised Rs 49,436 crore from IPO. In 2021, 63 companies had raised Rs 1.2 lakh crore from IPO. This was the highest figure in two decades. According to data from PrimeDatabase.com, the IPO market of small and medium companies (SMEs) has also seen a lot of growth this year. 

SME companies also raised a lot of money from the market 

During the year, 238 small and medium companies have raised Rs 8,700 crore by issuing shares. In 2023, an amount of Rs 4,686 crore was raised through SME IPO. During the year, large, medium and small companies raised funds by issuing shares. The average size of IPOs increased to Rs 1,700 crore in 2024. It was Rs 867 crore in 2023. At least 15 IPOs have come in December alone. V Prashant Rao, Director and Head-ECM, Investment Banking, Anand Rathi Advisors, said, “The activities of raising funds through IPOs collectively gained momentum due to the increasing participation of retail investors and active participation of foreign portfolio investors (FPIs), increase in private capital expenditure and the government’s focus on infrastructure and key sectors.”