Companies raised Rs 1.77 tr through equities

Mumbai: The total funds raised by India Inc through the issue of equity shares in FY18 has reached an all time high of Rs 1.77 lakh crore (Rs 1.77tr) with the initial public offer (IPO) being the most preferred instrument followed by qualified institutional placement (QIP) and offer for sale (OFS).

The total funds mobilised in FY18 according to Prime Database is almost 3.46 times the amount raised in the previous financial year.

While the amount raised through IPOs including public offers from small and medium enterprises (SME) stood at Rs 84,357 crore, corporate India mopped up Rs 62,358 crore through QIP and Rs 18,438 crore through offer for sale.

“This is the highest amount ever raised in a financial year, with the previous highest being Rs 86,710 crore in 2009-10,” said Pranav Haldea, MD, Prime Database.  

A notable feature of FY18 according to Mr Haldea was the impressive response witnessed by a majority of public offers with heavy participation from small investors.

Out of 45 IPOs, 17 saw a mega response and got subscribed by more than 10 times, 8 IPOs were oversubscribed by more than 3 times and 14 IPOs were oversubscribed in between 1 and 3 times. However, FY19 is likely to remain little challenging.