The IPO market is expected to see a variety of major big releases thanks to the strong market momentum that guided Sensex and Nifty to record highs in 2021.
Investing in IPOs means a chance to get it in quick, get it in easy, and make a big profit. Some IPOs do extremely well, although others have a terrible reaction from investors.
What is IPO?
The initial public offering (IPO) is a process by which a private company becomes a publicly-traded company by offering its shares for the first time to the public.
How to apply for IPOs?
Nowadays, it has become simpler to register for an initial public offering, because of the online registration process.
In India, most national banks and popular stock brokers provide facilities for online IPO applications. An investor must open a Demat account or a trading account with the brokerage institution that provides IPO service in order to apply online.
Here are ten of the most awaited IPOs to watch in 2021
Major Upcoming IPOs to Watch in 2021
The recent trends have shown that more and more investors are looking at IPOs in order to book a reasonable return in a short span of time.
There is no lack of popular private companies looking to enter the public markets. Key sectors such as e-commerce, fintech and edtech, led by the rise of online penetration, have experienced strong growth. It would be interesting to see the various industries entering the secondary market.
Kalyan Jewellers is planning to raise around Rs 1,750 crores through its IPO. The IPO is set to offer a fresh equity issue of 1000 crores. The company has posted operating sales of 10,181 crores, up from 9,814 crores in the last financial year. More details to follow soon.
The company's IPO size is estimated to be around Rs 5,450 crores, of which Rs 5,150 crores would be a fresh issue. The issue date is yet to be announced. Bajaj power ventures promoter is providing 300 crores of scrips. The Promoters of this company are Shishir Bajaj, Minakshi Bajaj, Kushagra Bajaj and ApoorvaBajaj
Bajaj Energy Limited is one of the largest thermal generating firms in the private sector in Uttar Pradesh.
In the 2021 Union Budget, finance minister Nirmala Sitharaman confirmed that the IPO of the Life Insurance Corporation of India (LIC) will be completed in 2021.
Minister of State for Finance said that up to 10% of the LIC IPO issue size will be reserved for policyholders. It is reported that the government is aiming to collect funds to the extent of 80,000 crores through this IPO.
Policybazaar plans to secure nearly $250 million in a $2 billion-plus valuation funding round before an initial public offering in September 2021. With Info Edge being an early investor, Policybazaar was founded in 2008.
With more than 90 percent market share, Policybazaar is the biggest online insurance firm in India.
The food delivery startup backed is expected to launch IPO in the first half of 2021. Zomato had also acquired Uber Eats during FY20 to become the business leaders in the delivery industry.
It is speculated that Zomato is looking for an IPO by June this year, valuing the firm on the stock sector at $6-8 billion. The Ant Group once held a 25-26% stake in Zomato.
The Economic Times announced that current investors Tiger Global, Kora Investments, Steadview, Fidelity, Bow Wave, Vy Capital and new sponsor Dragoneer Group will participate in the funding round.
Barbeque Nation IPO
Barbeque Nation will come up with its IPO soon because it has the approval of the SEBI market regulator to increase around Rs 1000 to 1200 crore through an IPO, around Rs 275 crores will be a fresh issue. A pre-IPO placement to amounting to Rs 150 crore could be considered by the firm.
The company is promoted by Sayaji Hotels, Sayaji Housekeeping Services, Kayum Dhanani, Raoof Dhanani and Suchitra Dhanani.
It is funded by CX Partners, the private equity company, which made its first investment in 2013 and again in 2015.
The e-logistics service provider holds more than 20 percent of its sector's market share and has raised 780 million across its various funding rounds. The company has over 85 fulfillment centers and has delivered 750 million orders to date. The company's last estimate stood at $1.5 billion and could go public in 2021-2022.
Paytm, the leading payments company, founded in 2010 is likely to launch its IPO this year. Softbank, Ant Financials, T Rowe Price and Discovery Capital are the main investors. Ant Financials is the largest investor with a 40% stake in the firm. The business has 150-200 million daily users and it is scheduled to go public soon.
Digital payments are at a significant milestone in India, with mobile payments dependent on UPI is expected to increase to over 60% of CAGR over the next five years.
Ola, a leading cab service provider plans to list on bourses this year. It is backed by Tiger Global alongside Tencent along with others.
At present, the company reports more than 1 billion rides taken annually and retains the privilege of a 55% market share in Indian markets.
BYJUs, India's leading education site, soared to prominence during the pandemic. It is backed by Lightspeed and Sequoia and has a $10.8 billion valuation and has 70 million registered users.
Byju's can go public by listing itself both in India and the US on stock exchanges.
The edtech website, founded in 2011 by teacher-turned-entrepreneur Byju, offers online kindergarten to Class 12 student learning courses, along with entrance exam training for engineering schools, medical colleges, and civil services.
The list of prospective IPOs listed above are subject to significant modification as the information is not yet updated on the exchanges.