This post shall cover the Top Upcoming IPOs in India, highlighting the important dates, pricing and other crucial information for potential investors.
IPO in India
The year 2020 has been a roller coaster ride for the Indian capital market due to the economic imbalance caused by the influx of the Covid-19 pandemic. People are looking for safe and profitable ventures to invest in, and IPOs are one famous avenue for the purpose. The year 2019 witnessed a potpourri of new public offerings by IRCTC, Ujjivan Small Finance Bank, India Mart, Sterlin, etc. The list for this year has been cooked and ready to serve with some exciting ingredients and flavors to look forward to!
A number of companies expected to go public this year including some big names like LIC, Burger King, etc. It means that they drafted their going public prospectus with SEBI and got approved.
So, we shall look into some of the highly awaited IPOs of the year and list the remaining ones below. But before that, Let’s understand the concept of IPOs so that you can grab the opportunity even if you’re a beginner with finance.
IPO Meaning: How it Works?
Initial Public Offering or IPO is referred to when a private company goes public in order to raise funds for the cooperation. Such an offering is beneficial for both, the company and the investors. Moreover, the investors get to be the shareholders of that particular company and earn profits as dividends as it grows in the market. It is offered at a discounted price which makes it more attractive for the public.
So, can any company go public? Well, No! The going public stage occurs only when a company has reached a minimum net worth of Rs.1 crores in the previous 3 years. also known as the ‘unicorn’ status and adheres to the other guidelines specified by SEBI. It is a big step for any company as the influx of such a huge amount of capital leads to great growth and expansion opportunities. Every step the company takes affects its stock price on the exchange. It is the main time when early investors of the company maximize returns.
To invest in an IPO:
- You can refer to the Prospectus of the company to understand its analytics,
- Follow IPO updates,
- Simply ask for the IPO details from your broker or financial advisor.
Top Upcoming IPOs in India: List 2020
While there are a lot of new incoming IPOs, let’s discuss the popular 5 that are most awaited by the investors in detail.
LIC or Life Insurance Cooperation is the first name that comes up in your mind when talking insurance, isn’t it? In fact, up until the year 2000, LIC was the only option for insurance policies. Even after the arrival of many rival brands, it still manages to maintain a positive market share. It is a fully government-owned entity and the proposal of a public offering was made in The Union Budget of FY 2020. It announced selling off a 10% stake of the company that will raise approximately Rs. 80,000-1,00,000 crore, making it the biggest IPO in Indian history. The dates for the IPO is yet to be disclosed.
2. Burger King (India) Ltd.:
The king of Burgers is all set to go public this year. The fast-food major started its operations in India in 2014 and acts as a direct competitor to McDonalds. It holds a close market share of 31% against 42% held by McDonald’s. The major shareholder of the company, Everstone capital plans to sell shares worth INR 600 crores to make a partial exit from the multinational hamburger chain via this IPO. Along with this, a fresh capital of INR 400 crores shall be raised for the expansion and growth prospects of the company.
Get a complete and exclusive review on Burger King IPO: Date, Price & Details
3. UTI Asset Management Company
It is the oldest AMC operating in the Indian arena and becomes the 3rd to be listed on a stock exchange after Nippon India and HDFC AMC. With this IPO, UTI will sell up to 8.25% stake of the company. This is done by the major shareholders of the company looking to offload which includes SBI, LIC, Bank of Baroda, Punjab National Bank, and T. Rowe Price. The estimated price of the IPO is INR 3800-4800 crore and the date is to be updated.
You may also like: Top 10 Companies in India Ranked by Market Cap
4. Home First Finance Company
Founded by Citibank veterans, HFFC engages in mortgage financing for affordable housing solutions. The IPO is expected to raise Rs. 1500 crores which include a fresh issue of Rs. 400 crores, and the remaining by offer-for-sale by existing investors and promoters. Market sharks like ICICI Securities, Kotak Mahindra, and Axis Capital have been appointed for the share sale. The opening date of the IPO is yet to be released.
5. Angel Broking IPO
7. Policy Bazaar IPO
And, here we have compiled a massive list of IPOs that you are going to see in the coming few months:
Upcoming IPOs in India List
|S.No.||Company||Tentative date||IPO size||Offer price|
|1||Mindspace REIT||27th-29th July 2020||4500cr||Rs. 274|
|3||ESAF IPO||August 2020||1000cr||NA|
|4||UTI AMC||August 2020||4000cr||NA|
|5||Burger King (India)||September 2020||1000cr||NA|
|6||Dodla Diary Ltd||2020||500cr||NA|
|8||Studds accessories Ltd.||2020||450cr||NA|
|9||Chartered Speed Ltd.||2020||275cr||NA|
|10||Stove Kraft Ltd.||2020||500cr||NA|
|11||Harsha Engineers Ltd.||2020||500cr||NA|
|13||Centurty metal recycling||2020||700cr||NA|
|15||Sembcorp energy india||2020||NA||NA|
|17||Capricorn food productsIndia||2020||NA||NA|
|19||Patel Infrastructure Ltd.||2020||NA||NA|
|20||John Energy Ltd.||2020||NA||NA|
|23||Ami organics Ltd.||2020||NA||NA|
|24||Mrs Bectors Food||2020||NA||NA|
|25||Senco Gold Ltd.||2020||NA||NA|
|27||Flair Writing industry||2020||NA||NA|
|30||Shyam energy and technology Ltd.||2020||NA||NA|
|31||Anand Rathi Wealth mangement||2020||NA||NA|
|32||Crystal Crop protection Ltd||2020||NA||NA|
|34||Barbeque nation hospitality||2020||NA||NA|
|35||Reliance General Insurance company||2020||NA||NA|
|36||National Stock Exchange(NSE)||2020||NA||NA|
|38||Lite Bite foods||2020||NA||NA|
|39||India Renewable Energy Development Agency(IRDA)||2020||NA||NA|
|40||Indian Railway Finance Corporation||2020||NA||NA|
|43||Atria Convergence Technology Ltd.||2020||NA||NA|
|44||GR Infraprojects Ltd.||2020||NA||NA|
|45||Mazagon Dock shipbuilders Ltd.||2020||NA||NA|
|46||PNB Metlife Insurance||2020||NA||NA|
|47||Shakun Polymers Ltd.||2020||NA||NA|
|48||Fino Payments Bank||2020||NA||NA|
|52||Millitec Machinery Ltd.||2020||NA||NA|
|53||Bharat Hotels Ltd.||2020||NA||NA|
|55||ASK investment managers Ltd.||2020||NA||NA|
|56||Sansera Engineering Ltd.||2020||NA||NA|
|57||T&T Infra Ltd.||2020||NA||NA|
|59||Neccon Power and Infra||2020||NA||NA|
|64||Bajaj energy Ltd.||2020||4500cr||NA|
|65||Chemcon Speciality Chemicals Ltd.||2020||350cr||NA|
|67||HDB Financial Services||2020||9000cr||NA|
|68||Home First Finance Ltd.||2020||1500cr||NA|
|69||Equitas Small Finance Bank||2020||1000cr||NA|
|70||Apeejay Surrendra Park Hotels||2020||1000cr||NA|
|72||Likhita Infrastructure Ltd.||2020||NA||NA|
|73||Telecommunication Consultants India Ltd.||2020||1500cr||NA|
|75||Happiest Minds Technologies Ltd.||2020||700cr||NA|
|77||Gland Pharma Ltd.||2020||6500cr||NA|
*The Details shall be updated as per announcements.
Top IPOs in India: Jan-July 2020
And yes, how can we forget to include the most popular IPOs in the first half of year 2020
SBI Cards and Services
This was a hot and trending IPO in early March. SBI Cards and Services, the Credit card unit of the State Bank of India that opened for subscription from 2nd March, 2020 to 5th March 2020 only. The much-awaited IPO aims to fetch a valuation of Rs.9000 cr at Rs. 750-755 per share. SBI filed for a public issue last November with SEBI which includes a fresh issue of Rs.500 crore worth of equity shares, sale offer of Rs.3.72 crore worth of shares by promoter SBI and Rs. 9.32 crore of shares by a major investor, CA Rover Holdings. The funds raised shall be used to make SBI a leading payment gateway in the future.
So, here’s a glimpse of some recent IPOs already announced in 2020. Let’s Look at how they performed:
|IPO||IPO Date||Lot Size||Issue Price (Rs.)||Issue Size (Rs. Cr)|
|1||Mindspace Buisiness Parks REIT||27th July 2020 - 29th July 2020||200||275||4500|
|2||Rossari Biotech Ltd.||13th July 2020 - 15th July 2020||35||425||496.49|
|3||Ksolves India Ltd.||23rd Jun 2020 - 26th June 2020||1200||100||4.02|
|4||Laxmi Goldorna House Ltd.||20th March 2020 - 3rd Apr 2020||8000||15||8.28|
|5||SBI Cards and Payment Services Ltd.||2nd March 2020 - 5th March 2020||19||755||10354.77|
So, that’s our list of some of the new and upcoming IPOs as well as already issued Initial Public Offerings in the market. Did you subscribe for any or interested in doing so for a forthcoming one? Don’t forget to share your thoughts and feedback.