IPOs This Week: After a slow start this year, as many as 4 initial public offerings (IPOs) are looking to raise over Rs 4,500 crore this week. These companies are Bengaluru-based DCX Systems Ltd, cardiologist Dr Naresh Trehan-promoted Global Health Ltd, Bikaji Foods International Ltd and Fusion Micro Finance Ltd.
These 4 IPOs cumulatively plan to raise about Rs 4,500 crore. These IPOs belong to diverse segments such as FMCG, healthcare, financial services, and cables & wires segments. Post their IPO issue, the companies will be listed on BSE and NSE.
2022 has been quiet for IPOs after a record fundraising last year. For the first three months, just three firms came up with the IPOs and post-March around 19 firms raised money through initial share sales. So far in 2022, firms raised a total of Rs 44,085 crore via share IPOs, data from primary market tracker Prime Database shows. In 2021, 63 IPOs had raised over Rs 1.19 lakh crore.
The cooling-off of the primary market was the result of volatile markets with expectations of rate hikes by global central banks to tackle higher inflation. The Ukraine-Russia tensions, energy crises in Europe and fears of recession also dampened sentiments.
Here is the list of 4 IPOs that will be launched next week.
DCX Systems IPO
Commencing operations in 2011, DCX Systems is among the leading Indian players for the manufacture of electronic sub-systems and cable harnesses in terms of manufacturing capability and revenue in Fiscal 2022 in the defence and aerospace sector.
The company is primarily engaged in system integration and manufacturing a comprehensive array of cables and wire harness assemblies and is also involved in kitting.
DCX Systems IPO will open on October 31 and will be available for subscription till November 2, 2022. The company plans to raise about Rs 500 crore through the issue.
The shares will be allotted on November 7 and credited to the depository on November 10. The scrip will be listed on the exchanges on November 11.
Fusion Micro Finance
The Fusion Micro Finance issue will open on November 2 and close on November 4. The firm has set a price band of Rs 350-368 a share and aims to raise around Rs 1,100 crore. The issue consists of a fresh issue of Rs 600 crore and an OFS of up to Rs 500 crore.
ICICI Securities, CLSA India, JM Financial, and IIFL Securities are the lead managers for the IPO.
Fusion Microfinance IPO is scheduled to open on November 2 and end on November 4. The issue comprises a fresh issue worth Rs 600 crore and an offer of sale (OFS) of 13,695,466 equity shares by promoters and existing shareholders.
Global Health IPO
Global Health which operates Medanta hospitals, is one of the largest private multi-specialty tertiary care providers operating in the North and East regions of India in terms of bed capacity and operating revenues as of March 31, 2022. The company’s key specialties are in cardiology and cardiac science, neurosciences, oncology, digestive and hepatobiliary sciences, orthopaedics, liver transplant, and kidney and urology, according to CRISIL Report.
Global Health will launch its IPO on November 3 to raise about Rs 2,205 crore. The bid will be available for subscription till November 7.
Bikaji Foods IPO
This company is the third largest ethnic snacks company in India with an international footprint, selling Indian snacks and sweets, and is the second fastest growing company in the Indian organised snacks market.
Bikaji IPO is purely an offer for sale (OFS) of up to 29,373,984 equity shares. The selling shareholders in the OFS are — Shiv Ratan Agarwal, Deepak Agarwal, India 2020 Maharaja, Intensive Softshare, and IIFL Special Opportunities.
The company plans to raise about ₹900 crore from the issue. Its price band is expected to be announced next week.
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