IPO frenzy intensifies in September: 41 cos file papers with SEBI; listing gain soars to 114% with 239 issues YTD

In September 2024, India experienced a significant surge in IPO activity, with 41 companies filing offer documents with SEBI. A total of 67 companies are awaiting clearance, and one is at the confidential pre-filing stage. Out of 239 IPOs in 2024, 175 opened above their issue price, and by September 30, 183 were trading above their issue price, indicating strong market sentiment. Retail investors benefited from average listing gains of 27%, which rose to 114% by the end of September.

Key IPOs include NTPC Green, Hexaware Technologies, and Vikram Solar, among others. SEBI's policy interventions, particularly concerning non-institutional investor (NII) allotments and IPO financing by NBFCs, have led to reduced oversubscription rates and fewer applications from large NII investors. Additionally, five major companies, including Vishal Mega Mart, Hyundai Motor India, and Swiggy, received SEBI approval for upcoming IPOs.