Flood of tech IPOs to hit Street after elections
₹7,300 crore collectively. But a more interesting bunch of at least nine new-age tech startups is polishing its offerings, preparing to tap the markets after next year’s general election. FirstCry, Oyo, Lenskart, Swiggy, PayU, MobiKwik, Infra.Market, OfBusiness and PhonePe are among the new-age tech startups looking to raise over $2 billion in 2024 (around ₹16,600 crore at the current exchange rate), bankers and company executives said.
The last time India saw a similar rush of tech-led startups to the market was in 2021, when Nazara Technologies, Zomato, Policybazaar and Nykaa sold shares in IPOs. “On the supply side, there are several companies that are considering IPOs as a preferred route to give their investors an exit. On the demand side, the upcoming state elections’ verdict and the outcome of the general election will have an impact on overall market sentiment and, consequently, the primary market," said Pranav Haldea, managing director, Prime Database Group.
In the past 25 years, the primary market has always been rather dull in the run-up to elections, Haldea added. The results of state elections starting December will guide sentiment and might offer a peek into how the general election will pan out, experts said. “There could be a small window before the general elections, which some of the companies that have already filed documents with Sebi (markets regulator Securities and Exchange Board of India) and secured approval will look to exploit," said the head of equity capital markets at a leading domestic investment bank, requesting anonymity.
Read more on livemint.com
