The primary market will be buzzing in the coming week as Rs 2,264 crore worth of IPOs will hit the Street. The stock market has been in a bear trap for last three consecutive weeks.
The market sentiment has been weak as investors have lost more than Rs 6 lakh crore worth of wealth in September itself.
Despite the negative sentiment, the IPO market is not losing hope with IRCON International’s Rs 470-crore IPO getting good subscription of 9.9 times recently. Three more public issues will be hitting the market for a Dalal Street debut.
The first IPO is state-run Garden Reach Shipbuilders and Engineers aims to raise Rs 345 crore at higher end of price band of Rs 115-118. The issue will open for subscription on September 24 and close on September 26.
It is an offer for sale of 2,92,10,760 equity shares by the government of India.
The second IPO that is opening for subscription next week is non-banking finance company, AAVAS Financiers. The company intends to garner Rs 1,734 crore through the issue during September 25-27 at the higher end of price band of Rs 818-821 per share.
The issue consists a fresh issue of Rs 400 crore and offer for sale of more than 1.62 crore by promoter and investors.
Dinesh Engineers would be the last IPO of the week as well as month. The company will be raising Rs 185 crore at the higher end of the price band of Rs 183-185 per share, by issuing 1 crore shares.
With this, the primary market is set to end September month with four IPOs worth Rs 2,734 crore which is much lower compared to same month last year.
In September 2017, seven companies hit Dalal Street and raised Rs 16,665.71 crore through public issues, including big names like SBI Life Insurance, ICICI Lombard etc.
