New Delhi: Indian firms have raised a whopping Rs23,730 crore through initial share sales in April-January, which is nearly 10 times than that mobilised during the corresponding period last fiscal.
With the stock market re-emerging as the preferred place for fund raising, as many as 28 companies came out with initial public offers (IPO) during April-January 2009-10 raising a total of Rs23,731.88 crore.
This is almost 10 times higher than Rs2,058.51 crore mobilised by 20 companies during the same period in 2008-09, according to market regulator Sebi.
During the 10-month period, two companies also came out with further public offers (FPO) raising a total of Rs64.47 crore, while none did this during the same period previous fiscal.
In total, there were 30 public issues which mobilised Rs23,796.35 crore against 20 in the same period last year garnering Rs2,058.51 crore, Sebi said in its February bulletin.
However, rights issue seems to have lost charm for companies as the amount mobilised through the route dropped 83% to Rs3,132.09 crore this fiscal.
There were 19 rights issues, which mobilised Rs3,132.09 crore against 21 in the same period last year that raised Rs11,997.31 crore.
Meanwhile, institutional placement seems to have gained favour with Indian corporates as a host of them mobilised Rs39,144 crore during the April-January period of the current fiscal through the route.
During the current financial year so far, there were 54 Qualified Institutional Placements (QIPs), which mobilised Rs39,143.89 crore against two QIPs during the same period last year that raised Rs188.82 crore,“ Sebi said.