Fund mobilisation by Indian firms through issuance of shares to institutional investors dropped by 64 per cent to nearly Rs 1,900 crore during April 2018, in comparison to the year-ago period.
During April 2017, the firms had mopped up Rs 5,206.65 crore.
As per the latest data available with the Securities and Exchange Board of India (Sebi), the capital garnered by the listed companies through the qualified institutional placement (QIP) route stood at Rs 1,862 crore in the first month of the financial year 2018-19.
This is 64.24 per cent less than that raised in the corresponding month of the previous fiscal.
Through the QIP route, during the financial year 2017-18, the firms had mobilised Rs 67,257 crore via 53 issues.
The funds were mobilised for business expansion, refinancing of debt, working capital requirements and other general corporate purposes.
QIP is an alternative mode of resource raising available for listed companies to raise funds from the domestic market.
In terms of numbers, three issues appeared in April 2018 as compared to five during the corresponding month of the previous year.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)