S&P BSE IPO Index Gained Triple In 2019
This year, more than 13 companies entered into the primary market with its public offerings. In these up to 10 companies were listed premium over the issue price. According to the source, the Indian stocks may trade at record highs. But, the investor’s support early in the $ 2.1 trillion markets are sitting on even more earnings. The newly launched public companies crossed India’s benchmark Index. This year, the S&P BSE IPO Index gained triple than BSE Sensex.
According to the expert’s analysis, In this fiscal, the market has received among 11 initial public offerings from online stores, diagnostic chains, railway zone, and micro-finance firms. In these, more than 10 IPO shares traded above the issue price. At the same time, the BSE benchmark Sensex has hit a six-month low in mid-September due to the slowdown in the economy.
A certified market expert stated that these are small companies and they have unique business models. For this reason, these companies got listed at a premium.
In the last month, the Indian railway’s IRCTC IPO traded more than double to its offer price which is the best listing in the last two years. The firm operates a unique business model such as catering, travel & tourism, packaged drinking water, and online ticketing. It is the largest railway network in Asia.
IPOs Listed Over Premium Price (S&P BSE IPO Index)
|IPO Name||Issue Price (Rs.)||Gain (%)|
|Spandana Sphoorty Fin||856||53|
|Rail Vikas Nigam||19||25|
|Sterling and Wilson Solar||752||20|
On the other hand, IndiaMart InterMesh IPO and Metropolis IPO listed in July and April. The shares of IndiaMart traded over 78% to its offer price. Metropolis IPO share listed more than 60% to its issue price. IndiaMart is one of the biggest online platforms for customer to customer, business to customers and B2B. By using this platform, users can get information related to products, services and contact suppliers of business products and services.
The market experts and other sources felt this year have been profitable for IPO launching companies and investors. Moreover, 11 more companies plan to go public by the end of this fiscal or start of the next fiscal.