Ipo performance in India-a strategic approach Acharya Krishna Kavitha1, Muduli Abhaya Kumar2 1Assistant Professor, Institute of Professional Studies & Research, Cuttack, Orissa, India 2Lecturer, Centurion University, Bhubaneswar, Orissa, India Online published on 20 March, 2021. Abstract An efficient capital market operating in a country ensures the best possible coordination and balance between the flow of savings and flow of investment leading to capital formation. It also facilitates the effective allocation of the mobilized financial resources, by directing the same to the projects needed to promote balanced economic development. Primary market is that component of the capital market where the companies issue long term securities for meeting their financial requirement. IPOs/FPOs are the most popular method of raising capital for public limited companies. But over the last several years the IPO market in India, has practically downturn. The primary market has remained upbeat during the year 2007. The total capital mobilized through 100 IPOs in 2007 was Rs.33,912 crores. But in the whole year of 2012 it was only Rs. 6,865.94 crores through 25 issues. Now companies are interested to issue their securities through private placement route. This downturn in the IPO market continued despite the fact that SEBI took a number of measures designed to boost the investor's confidence. In this article the authors explore the trend in IPO market for a period of January, 2007-July, 2013.the causes for downturn, regulations and strategic measures for the growth of this market. Top Keywords IPOs/FPOS, SEBI, Private placement, Capital formation, Economic development, Savings. Top |