Best start to equity capital market activity in three years, shows data

Real estate took second place with a 14.3% share, while materials rounded out the top three with an 11% share

The domestic equity capital markets (ECM) raised $7.3 billion during the first quarter of 2021, up 13.4% in proceeds from the first quarter of 2020, registering the best start to a year since 2018 when $8.8 billion was raised.

While the first quarter of 2021 was fertile ground for equity issuances, the outlook for the current quarter hinges on how the secondary market behaves. Investment bankers say if volatility, as seen over the past few weeks, remains elevated, it can dent ECM activity.

Follow-on offerings, which accounted for 67.9% of India’s overall ECM proceeds, raised $5 billion in the first quarter of