Blockbuster year for IPOs: Out of 60 stocks, 57 closed higher than the IPO price in 2023
The year 2023 was a remarkable one for the Indian stock market, as it witnessed a record number of initial public offerings (IPOs) from various sectors. Out of the 60 companies that went public, 57 closed higher than their issue price by the end of 2023, giving handsome returns to the investors.
Among all the initial public offerings (IPOs) in 2023, the Indian Renewable Energy Development Agency (IREDA) IPO stood out as the top performer, delivering an impressive return of 220% from its initial issue price.
The Muthoot Microfin IPO earned the dubious distinction of being the worst-performing IPO on the market in 2023, experiencing a loss of 15% from its issue price.
Consider reading: IREDA Share Price Target
Page Contents
Details of IPOs in 2023 and their returns
| Company Name | Listing Day Gain | Return Since Listing Day | Return from Issue Price |
|---|---|---|---|
| Indian Renewable Energy Development Agency | 88.00% | 71.00% | 221.00% |
| Cyient DLM | 59.00% | 60.00% | 155.00% |
| Netweb Technologies India | 82.00% | 30.00% | 138.00% |
| Tata Technologies | 163.00% | -10.00% | 136.00% |
| SignatureGlobal India | 19.00% | 91.00% | 128.00% |
| Senco Gold | 28.00% | 72.00% | 120.00% |
| Vishnu Prakash R Punglia | 47.40% | 48.00% | 118.00% |
| Utkarsh Small Finance Bank | 92.00% | 12.00% | 115.00% |
| EMS | 33.00% | 52.00% | 101.00% |
| Concord Biotech | 27.00% | 56.00% | 99.00% |
| Sah Polymers | 37.00% | 42.00% | 95.00% |
| Plaza Wires | 49.00% | 25.00% | 86.00% |
| Mankind Pharma | 32.00% | 39.00% | 84.00% |
| Motisons Jewellers | 84.00% | -3.00% | 79.00% |
| JSW Infrastructure | 32.00% | 32.00% | 75.00% |
| Divgi TorqTransfer Systems | 3.00% | 62.00% | 66.00% |
| Gandhar Oil Refinery (India) | 78.00% | -10.00% | 62.00% |
| DOMS Industries | 69.00% | -6.00% | 58.00% |
| SBFC Finance | 62.00% | -3.00% | 57.00% |
| R R Kabel | 16.00% | 31.00% | 52.00% |
| Protean eGov Technologies | 12.00% | 36.00% | 52.00% |
| Jupiter Life Line Hospitals | 46.00% | 1.00% | 48.00% |
| Manoj Vaibhav Gems ‘N’ Jewellers | 0.30% | 48.00% | 48.00% |
| HMA Agro Industries | 0.00% | 44.00% | 44.00% |
| Aeroflex Industries | 51.00% | -5.00% | 44.00% |
| Honasa Consumer | 4.00% | 31.00% | 36.00% |
| Nexus Select Trust | 4.00% | 30.00% | 36.00% |
| Zaggle Prepaid Ocean Services | -4.00% | 41.00% | 36.00% |
| Inox India | 42.00% | -6.00% | 34.00% |
| Rishabh Instruments | 0.40% | 32.00% | 32.00% |
| SAMHI Hotels | 14.00% | 16.00% | 32.00% |
| Azad Engineering | 29.00% | 2.00% | 32.00% |
| Global Surfaces | 22.00% | 5.00% | 29.00% |
| Avalon Technologies | -9.00% | 39.00% | 26.00% |
| Yatharth Hospital & Trauma Care Services | 0.00% | 26.00% | 26.00% |
| Sai Silks (Kalamandir) | 10.00% | 12.00% | 24.00% |
| Valiant Laboratories | 21.00% | 3.00% | 24.00% |
| ideaForge Technology | 93.00% | -36.00% | 24.00% |
| Cello World | 22.00% | -1.00% | 22.00% |
| Happy Forgings | 21.00% | 0.00% | 21.00% |
| lnnova Captab | 22.00% | -1.00% | 21.00% |
| Ratnaveer Precision Engineering | 37.00% | -14.00% | 18.00% |
| Pyramid Technoplast | S.9% | 10.00% | 16.00% |
| RBZ Jewellers | 5.00% | 10.00% | 16.00% |
| India Shelter Finance Corporation | 10.00% | 5.00% | 15.00% |
| Flair Writing Industries | 49.00% | -23.00% | 15.00% |
| ESAF Small Finance Bank | 15.00% | -1.00% | 15.00% |
| Updater Services | -5.00% | 19.00% | 12.00% |
| 11(10 Lighting | 42.00% | -21.00% | 12.00% |
| Udayshivakumar Infra | -10.00% | 22.00% | 10.00% |
| IRM Energy | -6.00% | 14.00% | 7.00% |
| Blue Jet Healthcare | 14.00% | -7.00% | 6.00% |
| Credo Brands Marketing | 12.00% | -7.00% | 4.00% |
| ASK Automotive | 10.00% | -6.00% | 3.00% |
| Matra Online | -4.00% | 6.00% | 2.00% |
| TVS Supply Chain Solutions | 2.00% | -1.00% | 0.60% |
| Fedbank Financial Services | 0.00% | -3.00% | -2.80% |
| Radiant Cash Management Services | 11.00% | -15.00% | -5.30% |
| Suraj Estate Developers | -7.00% | -1.00% | -8.00% |
| Muthoot Microfin | -9.00% | -6.00% | -14.00% |
If you applied for any of the IPOs and were fortunate enough to receive an allotment, you would have likely enjoyed decent returns.
Consider reading: INOX India Share Price Target
Top 10 IPOs with Highest Subscription in 2023
| Company Name | Issue Size (Rs Cr) | QIB (x) | NII (x) | Retail (x) | Employee (x) | Others (x) | Total (x) |
|---|---|---|---|---|---|---|---|
| Motisons Jewellers Limited | 151.09 | 135.01 | 311.99 | 135.60 | 173.23 | ||
| Plaza Wires Limited | 71.28 | 42.84 | 388.09 | 374.81 | 160.97 | ||
| Utkarsh Small Finance Bank Limited | 500.00 | 135.71 | 88.74 | 78.38 | 18.02 | 110.77 | |
| ideaForge Technology Limited | 567.29 | 125.81 | 80.58 | 85.20 | 96.65 | 106.06 | |
| DOMS Industries Limited | 1200.00 | 122.16 | 70.06 | 73.38 | 99.34 | ||
| Aeroflex Industries Limited | 351.00 | 194.73 | 126.13 | 34.41 | 28.52 | 97.11 | |
| Ratnaveer Precision Engineering Limited | 165.03 | 133.05 | 135.21 | 54.00 | 93.99 | ||
| Netweb Technologies India Limited | 631.00 | 220.69 | 83.21 | 19.48 | 55.92 | 90.55 | |
| Vishnu Prakash R Punglia Limited | 308.88 | 171.69 | 111.03 | 32.01 | 12.97 | 87.82 | |
| Azad Engineering Limited | 740.00 | 179.64 | 90.24 | 24.51 | 83.04 |
In 2023, there was a record level of participation in IPOs from various types of investors. Despite the record number of IPOs, they received strong support from investors in terms of subscriptions.
Consider reading: Motisons Jewellers Share Price Target
Anticipated IPOs in 2024
In 2024, the Indian IPO market is expected to continue its robust growth, following a significant increase in public issues in 2023. Here are some key upcoming IPOs:
- Ola Electric: Targeting a fundraising range of $700-800 million, Ola Electric‘s IPO is highly anticipated. Despite facing challenges, the company has seen a significant revenue increase, marking its transition to a major player in the electric vehicle industry.
- FirstCry: The omnichannel retailer FirstCry plans to raise $500-600 million, with a potential valuation around $4 billion.
- Awfis: This flexible workspace solutions provider has filed preliminary documents for an IPO, including a fresh issue of up to ₹160 crore and an Offer for Sale of 1 crore equity shares.
- Unicommerce: The e-commerce SaaS company is preparing for an IPO in late 2024.
- Aakash (Byju’s subsidiary): Aakash is aiming for an IPO by mid-2024, following a three-fold surge in revenue since its acquisition by Byju’s.
- PhonePe: With a $12 billion valuation, PhonePe is eyeing an IPO in 2024-2025, following a $200 million investment from Walmart.
- Oyo: The travel-booking platform has delayed its IPO and is now aiming for a $400-600 billion range, primarily for debt repayment.
- PharmEasy: After a successful rights issue, PharmEasy is considering an IPO, with Ranjan Pai expected to hold a 15% stake post-rights issue.
- Swiggy: Valued at $10.7 billion, Swiggy plans to enter the public market in 2024, following its rival Zomato.
- PayU India: A subsidiary of Prosus, PayU India is preparing for an IPO in late 2024, focusing on merchant payments and consumer credit.
- MobiKwik: Collaborating with financial advisors, MobiKwik aims to raise about $84 million in its 2024 IPO.
These IPOs reflect a diverse range of industries, from electric vehicles and e-commerce to fintech and edtech, indicating a vibrant and varied market for investors in the coming year.
Final Thoughts on IPOs in 2023
The IPO market in India was on fire in 2023, as investors showed strong appetite for new listings from diverse sectors. The majority of the IPOs delivered stellar gains on the debut day, rewarding the risk-taking investors. The IPO frenzy was driven by several factors, such as favourable market conditions, high liquidity, digital transformation, and strong growth prospects.
However, not all IPOs are created equal, and some of them may face challenges in sustaining their valuations in the long run. Therefore, investors should do their homework and analyse the fundamentals, financials, and growth potential of the companies before investing in IPOs.
The IPO market in 2024 is expected to remain buoyant, as more companies from emerging sectors like edtech, fintech, healthtech, and e-commerce are likely to go public. The IPO market in India is evolving and maturing, and it offers a great opportunity for both entrepreneurs and investors to create wealth and value.
