Business Standard

Mop-up from IPOs, rights issues up over two-folds in Feb

Image

PressTrust of India Mumbai

The quantum of funds mopped up by India Inc through IPOs and rights issues jumped over two folds in February to Rs 10,119.3 crore as against the previous month.

This amount was mobilised through seven offers, including two initial public offers (IPOs).

Corporates had raised Rs 3,617.9 crore in January when a total of four offers -- including two IPOs and one follow-on offers -- came up, market regulator Sebi said.

"During February, 2011, Rs 10,119.3 crore was mobilised in the primary market through seven issues as compared Rs 3,617.9 crore mobilised through four issues in January 2011," said the Capital Market Review by the Securities and Exchange Board of India (Sebi).

 

The fund raising through IPOs and rights issues was good in October on account of the good response to the Coal India's public offer, which garnered over Rs 15,000 crore. After that it fell for two months before again going up since January.
    
During February, the number of qualified institutional placements (QIPs) issues also went up to one, which raised Rs 426 crore, from none in the previous month.
    
The number of preferential allotments, however, went down in February to 26 as against 40 in January.
    
But the total amount raised through preferential allotments soared by over two-folds to Rs 5,559 crore from Rs 2,093 crore in the previous month.
    
In February, the stock markets showed some improvement, with the Bombay Stock Exchange (BSE) benchmark Sensex going up by above 1%.

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Apr 03 2011 | 11:24 AM IST

Explore News