The companies raised a total of 52,759 crore through initial public offerings IPOs in the current fiscal, which is higher than the funds raised through IPOs in the last financial year. Of the 61 companies that hit the exchanges till October of the current fiscal year 34 entities were small and medium enterprises SMEs, according to Finance Minister Nirmala Sitharaman's written reply to the Lok Sabha.
She said that 35 of the 61 IPOs were less than Rs 100 crore and four were in the range of Rs 100 crore and less than Rs 500 crore. As many as 22 IPOs were equal to or more than 500 crore. 10 out of the 61 companies were from the healthcare sector and 6 from cement constructions. Sitharaman said that large number of manufacturing and service sector companies are coming up for listing on the bourses. In the last fiscal, 56 companies jumped up funds worth Rs 31,060 crore via IPOs and 27 of them were SMEs, the Union Minister said.
The minister said there was an impression that the IPO of One 97 Communications, the parent company of Paytm, caused problems for investors but no problems have been caused by it.
It was more than what they went for, Sitharaman said on Paytm's debut on the BSE and the NSE. Paytm IPO received bids for 9.14 crore equity shares against an offer size of 4.83 crore shares and the price band was fixed at Rs 2,080 -- 2,150 per share. The IPO worth of Rs 18,300 crore was oversubscribed 1.89 times on its last day.
Sitharaman talked about the steps taken to strengthen the infrastructure of trading platforms. There are very many checks and balances and plan B, which are in place as a result of which I feel that measures are taken in a timely manner and are also taken by institutions with periodic trial and error kind of method. She said that the SEBI, NSE and BSE are taking all kinds of precautions every time there is a periodic review, and that it has to be strengthened to make sure that it is digitally safeguarded.