What is sustaining the flow of IPOs, defying equity market turbulence?

IPO investors withdraw from the market when large hyped-up issues fail to give the desired returns. That makes fundraising difficult, say experts

At a time when the secondary equity market is in a state of flux, the ongoing frenzy in the primary market is puzzling to many.

The benchmark indices have retreated 5 per cent from their recent highs amid continued foreign outflows and a hot United States Treasury market. However, the primary market continues to thrive.

In the first half of the financial year 2023-24 (H1-FY24), 31 companies raised Rs 26,300 crore through initial public offerings (IPO). This was 76 per cent higher than the Rs 14,956 crore mobilised a year ago after exempting Life Insurance Corporation’s Rs 20,500 crore mega