Anand Tandon, Independent Analyst, says the very fact that we have a robust market despite the inflow of new fresh money-raising IPOs is both good and bad. It shows that we have a very robust sentiment towards the market and it also helps to take some focus away from the secondary market where some stocks have reached stratospheric valuation. So, from both perspectives, it is good for the longer term. In the near term, right now it is a lottery.
Clearly the action is heating up in the primary market with large IPOs coming in. Swiggy as well as Hyundai IPOs are in the offing and it looks like the investment bankers are not worried about liquidity. Have you looked at the DRHP of either of the companies? Would you be a subscriber to either Hyundai or Swiggy?
Anand Tandon: These are all large companies with large capital raises, but also businesses which are fairly steady. So, from that point of view, one does not worry too much these days about valuations as the market has shown us. The question is if the market is pricing IPOs post their listing at way more than what they are coming in at, that does not mean that they should actually be doing that or that it is in any way a reflection on them being priced cheaply.
But as you mentioned, the very fact that you are having a robust market despite the inflow of new fresh money-raising IPOs is both good and bad. It shows that we have a very robust sentiment towards the market in the first place and secondly, it helps to take away some pressure from the secondary market. I