The financial year saw companies raise Rs 82,109 crore through 45 IPOs, against 25 IPOs raising Rs 28,225 crore in FY17. The total value raised has gone up by 172 per cent to Rs 2,247 crore. Offers for sale by such PE/VC investors totalling Rs 10,831 crore accounted for 13 per cent of the total IPO fund raising. Almost two of every five IPOs in FY18 are now trading below issue prices.Unlike in the past, fund utilisation in the case of most IPOs does not imply addition of fresh capacities. It has been witnessed in the past that during a bullish market, companies tend to aggressively price IPOs, leaving nothing on the table for investors.

Source: Economic Times May 14, 2018 07:30 UTC