Good Morning Dear MMS Reader,
Most of you may be familiar with that overused aphorism that a dog biting a man is not news, but a man biting a dog is. Indian startups becoming unicorns and unicorns going public were, till 2020, firmly in the latter category. But now, they are both so frequent that you couldn't be blamed for thinking, "Oh no, this again!"
As many as 25 unicorns have been minted this year—that's more than double the figure for the whole of 2020. And foodtech major Zomato is already listed, while payments provider Paytm, online insurance aggregator PolicyBazaar, and beauty e-tailor Nykaa are set to follow suit. But the IPO frenzy is hardly limited to startups.
Restaurant chain Barbeque Nation and Glenmark Life Sciences, a maker of active pharmaceutical ingredients, are among those that have joined the party.
Thirty-seven companies have gone public already, making 2021 one of the most prolific years for Indian initial public offerings (IPOs). But today's visually-rich analysis, based on exclusive data from capital markets data provider Prime Database, reveals interesting nuances.
For one, six of the 37 companies were loss-making, the highest in any year since 2016. And public shareholding in companies before their IPO has been higher in 2020 and 2021 than in previous years. Both these trends can be partly chalked up to venture capital-funded, growth-focused startups whose majority investors are categorised as public investors.
As companies of all hues cash in on the current bull run, investor caution is warranted. Four in 10 stocks that have IPOed since 2016 have under performed the broader Nifty 500 index. Today's Theme of article from www.multimediastudio.net going to give you away more of the story put together by our newsletter of the day.. #yusufbhandarkar #digitalmarketing
