IPOs expected in May: LIC IPO on track, 10 companies heading to D-Street in May

Mumbai: With Life Insurance Corporation’s IPO, the largest to date in India, about 10 companies plan to enter the primary market this month to raise around ₹12,000 crore, bankers say of investment.

Most of these companies were waiting for the issue of the LIC, which opens on Wednesday, to be resolved.

While Delhivery and Prudent Corporate Advisory Services plan to launch their public offerings as soon as next week, Paradeep Phosphate, Syrma SGS Technologies, Aether Industries, JK Files, Ethos, Hexagon Nutrition, E-Mudhra and Venus Pipes & Tubes are expected to hit the market at over the next four weeks, the bankers said.

ET office

India’s largest firm, Delhivery, is set to launch its ₹5,235 crore public offering on May 11.

The company reduced the size of the offering by Rs 7,460 crore due to unfavorable market conditions. Private equity firm Carlyle, an existing investor in Delhivery, could now sell shares worth around Rs 500 crore via the IPO, compared to its earlier plan of Rs 920 crore, according to bankers. , while SoftBank could cut its share in the offering to Rs 400 crore from Rs 750 crore. Delhivery shareholders include Bennett, Coleman & Co Ltd, which publishes The Economic Times.

Fertilizer company Paradeep Phosphates is seeking to raise about Rs 2,200 crore, including Rs 1,255 crore by issuing new shares. Its shareholders, Zuari Maroc Phosphates and the Indian government, plan to sell up to 120 million shares, representing the remainder of the IPO.

The mood in the primary market is not generic; only selective companies will have demand, bankers said. “Liquidity is not an issue, but the demand is only for selective companies with unique businesses and sold at decent valuations,” said Dharmesh Mehta, managing director of DAM Capital.

Prudent Corporate Advisory Services is set to launch its IPO next week, where existing shareholders including promoters plan to raise around Rs 600 crore by selling 8.55 million shares, bankers said. Private equity firm TA Associates, which owns nearly 40% of the company’s capital, will sell up to 8.28 million shares of the distributor of mutual funds and financial products.

About Arla Lacy

Check Also

Democratic Senator Maggie Hassan and GOP Governor Chris Sununu win New Hampshire primary races

CONCORD, NH — The Republican contest for the New Hampshire Senate emerged Tuesday as a …