August IPO Performance: 15 Of 17 IPOs List Higher, Most Hold Gains
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August saw IPOs outperform, with 15 of 17 issues listing at gains and retaining prices above issue levels. September’s fundraising pipeline could reach ₹70,000 crore.
Investors in India’s initial public offering (IPO) market had a stronger August than those in the secondary market, with 15 of the 17 issues that listed during the month delivering gains on debut.
The hit rate stood at about 88%. Shares of the same 15 IPOs are also trading above their issue prices, based on the latest available data. This came even as the Nifty declined 0.6% in August, pointing to stronger demand for new listings despite selective buying in the broader market.
Investor interest spread across sectors including healthcare, logistics, engineering, dairy, energy, jewellery, industrials and consumer-facing businesses.
Tempsens Leads August IPO Gains
Tempsens Instruments emerged as the best-performing August listing after its shares gained more than 100% on debut. Dhoot Transmission has recorded the strongest gain from its issue price among the IPOs highlighted. The stock had listed at ₹1,187, a 36% premium to its issue price.
Technocraft Ventures also delivered strong returns. It listed at around ₹311 against an issue price of ₹212, a gain of 47%. Behari Lal Engineering listed at ₹502 against an issue price of ₹285, giving investors a 76% listing gain.
Milky Mist Dairy Food listed at ₹181, compared with an issue price of ₹140. The stock has since climbed to ₹217.31, taking its gain from the issue price to around 56%. MV Electrosystems got listed at ₹624 against an issue price of ₹425, at a premium of 47%.
Most August IPOs Hold Above Issue Price
Several other new listings have retained their gains after debut. Molbio Diagnostics is trading nearly 42% above its issue price, while Shiprocket has gained 37%. Manipal Health Enterprises has also moved higher since listing. The company’s shares were issued at ₹590 and listed at ₹667.
Shares of only two August IPOs are currently trading below their issue prices. Shankesh Jewellers listed with a 2% gain, but its shares have since slipped around 4% below the issue price. Horizon Industrial Parks listed 3% below its issue price and is currently down 5%.
September IPO Pipeline Could Reach ₹70,000 Crore
The strong August performance comes ahead of a potentially bigger primary-market rush in September. Investment banking sources expect more than 20 companies to approach the market during the month.
The total fundraising pipeline could reach ₹70,000 crore if either of the two potential mega issues, Jio Platforms or National Stock Exchange (NSE), comes to market. Jio Platforms’ IPO has received approval from the Securities and Exchange Board of India (SEBI) and is expected to raise around ₹37,700 crore.
NSE is also expected to receive SEBI’s approval soon and could launch its IPO as early as September, according to people aware of the matter. The NSE IPO’s tentative issue size is around ₹30,000 crore.
Companies raised about ₹28,000 crore in July and more than ₹23,000 crore in August, marking a strong return to the market after a volatile first half of the year.
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This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, Visit www.kotakneo.com/disclaimer
Vishwa has spent 10+ years across fintech and FMCG doing what most people miss, connecting the dots, catching trends before they trend, and finding the angle nobody else thought to ask about.
At Kotak Neo, she drives content strategy for neoshorts, Kotak News Desk, and Investing Guide, turning market noise into something worth reading.
When she's not decoding markets, she trades charts for canvases, chasing art, painting, and architecture across cities she's yet to explore.
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