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These IPOs listed with premium in FY24 traded below their issue price this week
Stock market crash: These IPOs listed with premium in FY24 are trading below their issue price
Stock market crash: One-third companies- mainboard and small and medium enterprises (SMEs)- listed in fiscal year 2024 with premiums traded below their issue price amid stock market crash. Data from the BSE showed that 73 Indian mainboard companies raised a total of over ₹60,000 crore in FY24 but twenty-six of these are trading below their offer price. These include IPOs like Credo Brands Marketing, EPACK Durable, Muthoot Microfin, Capital Small Finance Bankand GPT Healthcare.
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Stock market crash: What's happening to the SMEs?
From the SMEs, 177 firms had raised over ₹5,100 crore in FY24 but 57 of these are now trading below their issue price.
Who are the top losers on the mainboard?
Credo Brands Marketing, EPACK Durables and Muthoot Microfin are among the top losers, as they have witnessed drops of around 36, 32 and 31 pe rcent, respectively. Others are Capital Small Finance Bank, GPT Healthcare, TVS Supply Chain Solutions, Fedbank Financial Services, Suraj Estate Developers and Entero Healthcare Solutions, whose stock declines ranged from 20 per cent to 26 per cent.
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Who are top losers in SME IPOs?
Bizotic Commercial recorded the steepest decline, falling 72 per cent from its issue price followed by Patron Exim and Cell Point India followed, which dropped 71 per cent and 61 per cent, respectively. Others included Vrundavan Plantation, SVS Ventures, Synoptics Technologies, Yudiz Solutions, Spectrum Talent Management and Saroja Pharma Industries India.
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What's happening in the stock market?
This comes as SEBI chairperson Madhabi Puri Buch indicated a bubble in the market and hinted at involvement by certain merchant bankers. She also emphasised the need for more data while acknowledging signs of manipulation in the SME segment.
