Tepid listing gains, quarterly result updates put brakes on IPO rush

In March 2021, nine IPOs were launched but only one IPO hit the markets in April

After strong mobilisation in July and August, September was expected to be another strong month for initial public offerings (IPOs), given the buoyancy in the secondary market and ready regulatory approvals. But a rule that requires IPO-bound companies to update their quarterly financial numbers, coupled with a spate of poor listings, have acted as speed bumps.

So far this month, only four issues cumulatively raising Rs 3,918 crore have concluded. The amount is less than a fourth of the average sum raised in the previous two months. August saw the launch of eight IPOs, which cumulatively mopped up Rs 17,841 crore