Kotak Is Top Fund Raiser In 1999-00

Kotak Mahindra Capital Company (KMCC) has been ranked as the No. 1 fund raiser by Prime Database during 1999-2000.

The company replaces SBI Capital Markets, which was the topper last year. SBI Caps comes fifth this year.

DSP Merill Lynch, J M Morgan Stanley and RR Finance came second, third and fourth, respectively.

KMCC managed offerings aggregating Rs 6,887 crore, or 89.8 per cent of the total amount raised through equity, debt and hybrid instruments.

KMCC executive director Shanthi Ekambaram said, "It was combined effort; this ranking comes as a delight."

She said year that went has seen the revival of the equity markets with a jump in fresh equity of over Rs 1,200 crore from last year. Last year, the total equity raised was a meagre Rs 500 crore.

 

She attributed the huge rise in the fund mobilisation from equity markets to the investor interest and confidence in technology stocks.

KMCC became the pioneer merchant banker to initiate fund mobilisations through the book-building route with the issue of Hughes Software Systems.

The company also bagged the highest position in three out of the five book-built offers as ascertained by Prime Database.

Prithivi Haldea, managing director,Prime Database, said in his report to KMCC that this was the first time that any one investment banker has topped all the league tables with respect to resources raised from the public markets.

Talking about KMCC's plans in the coming year, she said the primary focus will be on the ICE (information technology, communication and entertainment) sector. "There are a lot of intiatives in the pipeline with the first private sector telecom issue ready in the wings to be launched," she said.

KMCC is the lead manager to the Hughes Telec.com's Rs 750 crore issue.

"We think that the market is still fundamentally strong despite its behaviour and most companies in India have good growth and revenue models," she said.