FPIs buy big in primary market even as secondary sales continue
primary market in November hit a 23-month high even as they remained net sellers in the secondary market in this period. Foreign portfolio investors invested ₹7,688 crore in the primary market in November till Thursday with the IPO market buzzing with activity, while they offloaded Indian shares worth ₹6,877 crore.
The primary market includes IPOs, follow-on public offers, bonus issues, rights issues, and offer for sale.
According to NSDL data, foreign investors withdrew a total of ₹51,697 crore from the secondary market since September 1.
In the primary market, they infused ₹11,501 crore during the same period, resulting in a net outflow of ₹40,196 crore from the equity markets. The Nifty index has risen 1.8% in the past three months.
FPIs' primary market investment of ₹7,688 crore in November marks the highest figure since December 2021, when these investors pumped nearly ₹13,663 crores into IPOs and other share sales.
So far in November, 11 companies have raised ₹12,767 crore. FPIs were bidders for an average 40% of the qualified institutional buyers' portions in these IPOs.
Last week was one of the busiest for India's IPO market, with investors pouring an unprecedented ₹2.6 lakh crore into five issues that aimed to collect ₹7,380 crore.
