Equity capital raising at three-year high; Axis Bank tops the league table

Equity issuances by domestic companies stood at $11.7 billion in the first half of 2018 (1H2018), reporting an increase of 11.2 per cent over the same period last year. This was the strongest first-half period for domestic equity capital market (ECM) activity, according to Thomson Reuters. 

Initial public offerings raised a total of $3.8 billion, up 43.2 per cent in proceeds from the same period last year. It was the highest first-half period for Indian IPOs since 2008, when $4.3 billion was mopped up.

Follow-on offerings stood at $7.9 billion in proceeds, an increase of just 0.2 per cent from a year ago. The biggest deal was Tata Steel’s rights issue through which it raised $1.9 billion (Rs 127.0 billion) followed by Tata Sons’ block share sale of Tata Consultancy Services, to raise $1.4 billion (Rs 89.8 billion).

Axis Bank topped the league table, with Citibank coming a close second. Pantomath Capital, which helps companies raise capital outside the main board, made a surprise entry into the league table, with 24 deals which together raised $368 million.