Indian firms rush to float in London
The growing importance of India to the global economy was underlined on Wednesday when Jubilant Energy became the fifth from the country to float on the London stock market.world Updated: Nov 25, 2010 22:58 IST
The growing importance of India to the global economy was underlined on Wednesday when Jubilant Energy became the fifth from the country to float on the London stock market.
The arrival of Jubilant Energy and four other Indian companies on the Aim stock market for smaller companies is a boost for London as a financial centre at a time when doomsters fear the capital could lose out to rivals in the wake of tighter financial regulation and higher taxes.
Tracey Pierce, a director at Aim's parent company, the LSE, said: "This flurry of new Indian admissions by five diverse, ambitious and growing companies highlights the increasingly central role India is playing in the global economy, and how London can provide the capital to match the country's appetite for growth."
Between them the five new Indian admissions have raised an estimated £217million.
Jubilant Energy is a holding company for a group of firms engaged in oil and gas exploration and production in India. It raised $85million, making it the third largest Aim IPO in 2010.
"India is one of the largest energy consuming countries in the world, but its per capita energy consumption is amongst the lowest," said Ajay Khandelwal, chief executive. "Indian domestic demand continues to grow and yet the country is expected to be a net importer of energy for the foreseeable future. Jubilant will play straight into that imbalance," he said.
The other four Indian firms to have joined Aim over the last ten weeks are: iEnergizer; SKIL Ports & Logistics; Caparo Energy; and Photon Kathaas.