IPO response was further buoyed by strong listing performance. Average listing gain (based on closing price on listing date) increased to 29.44 per cent in the first half of 2023-24 in comparison to 11.56 per cent in the first half of 2022-23, as per Pranav Haldea, Managing Director, PRIME Database.
Of the 28 IPOs which have got listed thus far, 20 gave a return of over 10 per cent.
Ideaforge gave a stupendous return of 93 per cent followed by Utkarsh Small Finance Bank (92 per cent) and Netweb Technologies (82 per cent), the report said.
27 of the 28 IPOs are trading above the issue price (closing price of October 3).
The overall response from the public, according to Prime Database, was good.
Of the 28 IPOs for which data is available presently, 19 IPOs received a mega response of more than 10 times (of which nine IPOs more than 50 times) while four IPOs were oversubscribed by more than three times.
The balance five IPOs were oversubscribed between 1 to 3 times. The relatively new HNI segment (Rs 2-10 lakh) saw an encouraging response with 17 IPOs receiving a response of more than 10 times from this segment.
In comparison to the first half of 2022-23, the response of retail investors increased tremendously. The average number of applications from retail increased to 10.02 lakh, in comparison to 7.57 lakh in 2022-23.
The highest number of applications from retail were received by Ideaforge (22.29 lakhs) followed by Aeroflex (21.62 lakhs) and SBFC Finance (20.19 lakhs).
The amount of shares applied for by retail by value (Rs 55,516 crore) was 118 per cent higher than the total IPO mobilisation (in comparison to being 33 per cent lower in 2022-23) showing a much higher level of enthusiasm from retail during the period.
The total allocation to retail, however, was Rs 6,506 crore which was 26 per cent of the total IPO mobilisation (slightly down from 28 per cent in 2022-23).
The largest IPO in the first half of 2023-24 was from Mankind Pharma (Rs 4,326 crore). This was followed by JSW Infrastructure (Rs 2,800 crore) and RR Kabel (Rs 1,964 crore).
At the other end, the smallest IPO was from Plaza Wires raising just Rs 67 crore. As many as 21 out of the 31 IPOs came in just 2 months of August and September.