Mumbai: Indian companies raised ₹ 63,144 crore through equity and debt issuances in 2014, a drop of 21.15% as compared to the same period last year, according to data from information provider Prime Database. Last year domestic companies raised ₹ 80,083 crore.
Firms raised ₹ 39,127 crore via equity offerings including initial public offerings, follow-on public offers (FPO), offer for sale programmes (OFS), qualified institutional programme (QIP) and institutional placement programme (IPPs). Equity fund raising fell 13% compared with the ₹ 45,440 crore raised last year, the data showed.
“The year could have been much better but for the continuous deferment of several public sector offerings," said Pranav Haldea, managing director at Prime Database.
“Despite a huge target of ₹ 58,425 crore for fiscal year 2014-15 and continuing announcements, with nine months already gone only ₹ 1,780 crore, 3% of the target has been achieved," Haldea added, while referring to government divestments.
Private companies managed to raise ₹ 1,528 crore through IPOs this year compared with ₹ 1,619 crore last year. This is the lowest amount raised via the primary markets in the last nine years.
However, domestic firms raised significant amounts of capital through QIPs. QIP issues raised ₹ 31,684 crore this year, the highest amount raised in last five years. In 2009, companies had raised ₹ 34,676 crore through this route.
Fund raising through the debt markets saw a steeper drop of 30.68%, with companies raising ₹ 24,016 crore during the current calendar year, as compared with ₹ 34,643 crore in the corresponding period last year.