IPO conundrum: Massive subscription, weak returns; what's behind the trend?

The calendar year 2021 has been a busy one for the primary markets with 17 mainboard issues already having hit the Street. They have mostly been received well by investors with five of the 17 issues garnering over 100 times subscription. MTAR Tech went one step ahead and was the most subscribed issue of 2021 with over 200 times.

However, the secondary market has not been too kind and some of these names have either failed to see listing gains or such gains have fizzled out in a day or two. Look at IRFC, Easy Trip or the recently listed Anupam Rasayan. All of these are currently trading below or nearby to their issue prices.