Are you planning to venture into the stock market? Or perhaps you’re considering various trading strategies? Whatever the case, an IPO can be an excellent tool for any trader to invest in, be it a beginner or an expert.
With the Indian economy on the rise, several businesses are launching their IPOs in the coming months. We’re here with a list of 10 upcoming IPOs in India for you to consider. In this article, you’ll also learn about IPO allotment and how to check IPO status.
What is an IPO?
IPO stands for Initial Public Offering. It is a process through which a private firm issues its shares to the general public for the first time. The new investors buy the shares and provide the company with capital to aid its growth.
An IPO can be a great way for the public to invest in and claim ownership in a company. The Indian economy is growing these days and thus startups are on the rise. Some day or the other, these businesses will need to raise funds. So we’ll be seeing many upcoming IPOs in 2022.
What are the benefits of an IPO for a company?
A new business receives funding from angel investors and banks to grow. An IPO is easy for the company to get financing without high interest and collateral.
An IPO also allows the company to get listed on stock exchanges. And it can also generate publicity, as seen in the cases of PAYTM and Burger King.
10 Upcoming IPOs in India and How to Apply for Them
Snapdeal is an Indian e-commerce company and a rival of Amazon and Flipkart. Snapdeal plans to raise Rs 1250 crores and issue around 308 lakh equity shares in 2022. The IPO date notice will come soon.
2. OYO Rooms
OYO is a famous Indian startup operating in the hospitality domain. OYO is home to several leased hotels which can be booked by visitors online. This year, OYO plans to raise Rs. 8430 crores. It’s one of the top upcoming IPOs in India.
Ola is an Indian multinational ride-sharing company. After losing money in the COVID pandemic, it is now on an upward trajectory. Experts believe Ola will launch its IPO in the last quarter of 2022.
boAt is a fast-growing Indian electronics brand known for its affordable gadgets. It has become a household name in the country. boAt filed for an IPO earlier this year for Rs. 2000 crores. The date will arrive soon.
PharmEasy is a rising online pharmacy brand that plans to go public this year. The PharmEasy IPO will raise Rs. 6250 crores in 2022.
6. Go Airlines
Go Airlines is a popular Indian airline, and its IPO is one of India’s most anticipated upcoming IPOs. Go Airlines will issue fresh equity shares worth Rs. 3600 crores in 2022.
Fabindia Limited is a 62-year-old retail brand selling garments and ethnic handmade products. Fabindia plans to issue 2.5 crore equity shares in 2022 to raise Rs. 500 crore.
Byju’s is a digital learning platform in India. It offers various courses to school students and job aspirants. Byju’s has been growing fast lately and plans to go public before April 2023.
9. Senco Gold
Senco Gold is a fast-rising pan-India jewellery retailer with a 3-decade history. In April, Senco Gold filed a DHRP (Draft Red Herring Prospectus) with SEBI to raise Rs. 525 crores.
MobiKwik is a leading mobile payment platform in India. It is quickly becoming customers’ go-to place for online purchases. The MobiKwik IPO is also one of India’s most anticipated upcoming IPOs and will issue shares worth Rs. 1900 crores.
How to apply for an IPO?
Applying for an IPO is very simple in this digital age, but some prerequisites still exist.
- Choose a company
- Read the red herring prospectus on the SEBI website
- Check past profits, transparency in funding, debts, etc
- Open a Demat account and a trading account
- Linked a verified bank account with the necessary capital
- Select the lot size and bid
You can choose independent platforms like Zerodha and Sharekhan to apply for an IPO. Some banks also merge bank, Demat, and trading accounts.
What is IPO Allotment?
Every IPO has specific quotas for different investors. High-value investors are usually preferred over the general public. And sometimes, there can be an oversubscription. It happens when the number of shares in demand exceeds the number of shares the company has released.
In such cases, there is a random selection of applications. So either you get the allotment or your money back. In the case of an under-subscription, SEBI dismisses the IPO.
How to Check IPO Status?
The IPO allotment process isn’t over once your application gets through. Sometimes you receive fewer shares than you bid for. So it’s essential to double-check the IPO status.
You can check IPO status on the websites of the registrars. These are independent organisations affiliated with stock exchanges. The company appoints them to oversee the record of the issued shares.
You can also check IPO status on the websites of BSE and NSE.
So, now you know about some upcoming IPOs in India, IPO allotment, and how to check IPO status. Next, you’re probably thinking of applying for an IPO.
Be sure to review the company before taking that big step.
However, some people may not have much capital to invest. If you need help with finances, you can always take the help of a financial expert like Piramal Finance. They will suggest what’s best for you and help take care of your personal finance requirements if any.
Hopefully, you’ll make an informed decision. Happy trading!