IPO Market in India.

 The year-on-year IPO activity in India increased 156 per cent in numbers to 110 deals in 2021 (from 43 in 2020) and 314 per cent by proceeds to $16.94 billion (from $4.09 billion in 2020), as per the latest report on IPOs from this global professional services firm.

2021 Year in Review | Indian startups come of age with 8 IPOs in 2021.

Initial Public Offering (IPO) Initial Public Offer (IPO) is a process through which an unlisted Company can be listed on the stock exchange by offering its securities to the public in the primary market. 

The company shares are purchased during the long process of IPO entry at a pre-market price. Then, during the public auction, the company's shares may get higher, and if the company is already known in the world, the public offering of its shares will cause a real rush and a spike in prices.

In simple terms, a company's share price at the time of the IPO is determined by the valuation of the company, divided by the total number of shares at listing.

You shouldn't invest in an IPO just because the company is garnering positive attention. Extreme valuations may imply that the risk and reward of the investment is not favorable at the current price levels. Investors should keep in mind a company issuing an IPO lacks a proven track record of operating publicly.

But IPO investors do not always make profit all the time as has been proved time and again and, in fact, in many of the IPOs, investors have burnt their fingers and suffered huge losses. ... The fact remains that most of the IPOs provide negative returns when markets have gone into bearish phase.

Working for a company before it goes public can be highly beneficial for employees who have stock options or RSUs after a successful IPO. ... If you still work for the company, or if you've left and exercised your options (or retain the right to), then an IPO at almost any price is likely to bring a considerable windfall.






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