Break on IPO market due to Middle East tension, many big issues postponed; Know the details

IPO Market Slowdown: There is pressure in the Indian market due to the ongoing tension in the Middle East. At the same time, foreign investors also seem to be continuously moving away from the domestic market. The effect of tension is reaching the IPO market also.

Many companies are avoiding bringing their public issues. Companies are afraid that they will not be able to get proper valuation amid the current situation and weak demand. Talking about the figures, IPOs worth about Rs 3 lakh crore are in the queue.

Impact of US-Iran tension

The ongoing weakness in the stock market and Iran-US tension have together put pressure on investors. Foreign investors are also continuously selling.

Fluctuations in crude oil prices are also raising concerns. In such circumstances, companies are still avoiding launching IPOs. Companies believe that waiting for better times is a wise move at this time.

A large number of companies are ready

Amidst the slowdown in the IPO market, companies are busy in their preparations. 144 companies that have received approval from the Securities and Exchange Board of India (SEBI) have planned to raise about Rs 1.75 lakh crore. While 63 other companies are waiting for permission for the issue of about Rs 1.37 lakh crore. Overall, more than 200 companies are included in this list.

Big names are also waiting for the right time

Many big names are also included in the companies preparing for IPO. At present, they are not showing any haste and are waiting for positive signals from the market. Big companies like Flipkart, SBI Funds Management, PhonePe and Zepto are included in the queue.

Investors are eagerly waiting for big names like National Stock Exchange (NSE) and Jio. It is expected that the IPO of Jio Platforms could be worth around Rs 40,000 crore. In this respect, it can become India’s biggest IPO.

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