Firms raised Rs 5,600 cr in Dec from IPOs

Firms raised Rs 5,600 cr in Dec from IPOs

The quantum of funds raised by India Inc through initial public offers and rights issues went up by over five-fold to Rs 5,600 crore in December over the previous month.

Companies had raised Rs 1,601 crore in November with two issues, according to the ‘Capital Market Review’ by Securities & Exchange Board of India (Sebi).

Sebi said the amount mobilised during April-December period stood at Rs 23,003 crore through 51 issues as against Rs 50,480 crore raised through 66 issues during the corresponding period in 2010-11.

Experts said volatile nature of the market and global economic slowdown have prompted companies to stay away from coming out with new issues. Sebi also said there was only a single Qualified Institutional Placement (QIPs) in December which raised Rs 68 crore. In the previous month, there were no QIPs.