Marking a big day for IPOs, two companies -- no-frills carrier IndiGo and e-retailer Infibeam -- today filed papers with Sebi to raise nearly Rs 3,000 crore.
In signs that the IPO market is revving up after months of subdued activity, staffing firm TeamLease also initiated the process of filing papers for raising around Rs 450 crore.
That apart, Biocon arm Syngene, Prabhat Dairy, Navkar Corp and Catholic Syrian Bank, which have already got the go ahead from regulator Sebi, plan to hit the capital market in the next two-three months with IPO offers totalling nearly Rs 2,000 crore.
InterGlobe Aviation Ltd, which runs the country's biggest airline by market share under 'IndiGo' brand, plans to raise up to Rs 2,500 crore. It has offered to issue fresh shares worth Rs 1,272 crore, an equivalent amount can be raised through sale of up to 3.01 crore shares by its existing shareholders.
"The issue will consist of a fresh issue aggregating up to Rs 12,722 million and an offer for sale of up to 30,146,000 equity shares by certain selling shareholders of the company.
"The equity shares offered through the issue are proposed to be listed on BSE and National Stock Exchange," it added.
IndiGo is one of the two profit-making domestic airlines. The already listed airlines in the country include Jet Airways and Spicejet, while trading in long-grounded Kingfisher Airlines is suspended for a long time due to penal reasons.
The carrier would be joining a raft of companies that are gearing up to tap the IPO route for raising funds amid stabilising market trends.
Becoming the first e-commerce player to tap the IPO route, Infibeam plans to mop-up around Rs 450 crore.
Started in 2007, Infibeam runs several e-commerce services such as Infibeam.Com, Indent, BuildaBazaar, Incept and Picsquare. Last year, Sony Music had bought a 26 per cent stake in Indent.
TeamLease Services' Managing Director & Co-Founder Ashok Reddy said the company was exploring multiple options to facilitate the aggressive growth that it plan for the future.
After a long lull, IPO markets have begun to heat up as over 30 companies have lined up plans to raise funds totalling over Rs 20,000 crore through public offers, including Coffee Day Enterprises and Matrix Cellular.
At least 21 of these firms have already got the go-ahead from market regulator Sebi to launch their respective IPOs. GVK Group also plans to list its airports business arm, GVK Airport Developers and raise about Rs 3,000 crore.
The flurry of activities also comes at a time when the regulator Sebi has announced a slew of fresh reforms in the IPO space, including halving the listing period to six days.
So far this year, eight companies have collectively raised nearly 4,000 crore through IPOs. In comparison, a total of six IPOs had hit the market in the entire 2014 and together garnered just Rs 1,528 crore.
