- Date : 15/11/2021
- Read: 3 mins
Know about the upcoming IPOs in 2021 and how they will benefit investors
Did you know that 43 Indian companies managed to raise $3.5 billion through IPOs (Initial Public Offerings) in the public market? But how does a new IPO take place? When a private enterprise decides to acquire more capital to grow, it raises public shares. Let's find out how this happens and look at the upcoming IPO list.
Why do people buy IPOs in the share market?
The main reason for an investor to subscribe to a new IPO is to become an early shareholder in the company. They invest in these shares after doing a proper market analysis. Naturally, getting hold of the upcoming IPO will be beneficial when the company’s stakes rise.
For example, Reliance launched its IPO at a share price of Rs 10, which is now trading at over Rs 2400 per share. Even then, investors need to be aware of the recent IPOs to make mindful investments and earn profits.
An IPO offers a company the ability to raise money, thereby helping it expand and grow by harnessing the transparency that comes with share listing.
Related: All about IPOs and why they are flooding India
Top 5 most awaited IPOs in 2021 in India
1. VLCC Healthcare
This wellness company has planned to raise Rs. 300 crores from their upcoming IPO along with equity share in OFS.
2. ESAF Small Finance Bank Ltd.
This small finance bank wants to raise about Rs 1000 crore from its IPO. Investors are intrigued by this new IPO in the exchanges this year because of the popularity of this bank.
3. Nykaa
This fashion, e-commerce, and beauty website filed to raise an IPO revenue of Rs 4000 crore. The IPO consisted of:
Rs 525 crore of fresh issue equity
Rs 4.3 crore of equity share for OFS
4. Adani Wilmer
This FMCG company filed for a Rs 4500 crore IPO based on market regulations. Indeed, it was one of the most trending equity in the upcoming IPO list a few months back.
5. MobiKwik
This digital wallet company filed for an IPO to raise Rs 1900 crores. It planned on raising:
Rs. 1500 crore via primary issue
Rs. 400 crore on a secondary issue
Related: IPO Performance In The Last Ten Years
List of upcoming IPOs for 2021
Related: How does India’s youth invest its money?
Tips for investing in upcoming IPOs in 2021
Initiate objective research by digging deeper
Indulge in a healthy reading of the company’s prospectus
Invest in a company that has an existing list of strong brokers
Be cautious and understand the volatility of the market
Last words
IPOs can provide excellent opportunities to purchase a share at a great price. Only invest in an IPO if it aligns with your financial goals and risk tolerance. Sometimes the timing of the IPO is ideal, and other times it is preferable to wait.
Did you know that 43 Indian companies managed to raise $3.5 billion through IPOs (Initial Public Offerings) in the public market? But how does a new IPO take place? When a private enterprise decides to acquire more capital to grow, it raises public shares. Let's find out how this happens and look at the upcoming IPO list.
Why do people buy IPOs in the share market?
The main reason for an investor to subscribe to a new IPO is to become an early shareholder in the company. They invest in these shares after doing a proper market analysis. Naturally, getting hold of the upcoming IPO will be beneficial when the company’s stakes rise.
For example, Reliance launched its IPO at a share price of Rs 10, which is now trading at over Rs 2400 per share. Even then, investors need to be aware of the recent IPOs to make mindful investments and earn profits.
An IPO offers a company the ability to raise money, thereby helping it expand and grow by harnessing the transparency that comes with share listing.
Related: All about IPOs and why they are flooding India
Top 5 most awaited IPOs in 2021 in India
1. VLCC Healthcare
This wellness company has planned to raise Rs. 300 crores from their upcoming IPO along with equity share in OFS.
2. ESAF Small Finance Bank Ltd.
This small finance bank wants to raise about Rs 1000 crore from its IPO. Investors are intrigued by this new IPO in the exchanges this year because of the popularity of this bank.
3. Nykaa
This fashion, e-commerce, and beauty website filed to raise an IPO revenue of Rs 4000 crore. The IPO consisted of:
Rs 525 crore of fresh issue equity
Rs 4.3 crore of equity share for OFS
4. Adani Wilmer
This FMCG company filed for a Rs 4500 crore IPO based on market regulations. Indeed, it was one of the most trending equity in the upcoming IPO list a few months back.
5. MobiKwik
This digital wallet company filed for an IPO to raise Rs 1900 crores. It planned on raising:
Rs. 1500 crore via primary issue
Rs. 400 crore on a secondary issue
Related: IPO Performance In The Last Ten Years
List of upcoming IPOs for 2021
Related: How does India’s youth invest its money?
Tips for investing in upcoming IPOs in 2021
Initiate objective research by digging deeper
Indulge in a healthy reading of the company’s prospectus
Invest in a company that has an existing list of strong brokers
Be cautious and understand the volatility of the market
Last words
IPOs can provide excellent opportunities to purchase a share at a great price. Only invest in an IPO if it aligns with your financial goals and risk tolerance. Sometimes the timing of the IPO is ideal, and other times it is preferable to wait.
