By Divyansh PokharnaThe Indian stock market ended last week sharply lower, with the Nifty 50 falling 2.6%. It dropped another 3.2% on April 7. The drop was caused by global trade tensions after Donald Trump raised import taxes. On April 2, he announced a flat 26% tariff on all Indian exports to the US, along with tariffs ranging from 10% to 49% on other countries.
India’s merchandise exports to the US, worth over $89 billion in 2024, could take a hit under the new tariffs. However, India may still stay competitive, as Bangladesh, Sri Lanka, and Vietnam face even higher tariffs. Automobiles, which were mostly exempt earlier, now face a 25% US tax under a new rule. Trump has also hinted that new import taxes on the pharma sector are expected soon.
“India is doing better than other countries under Trump’s new tariffs. Right now, there’s a lot of uncertainty, and some companies could be hit harder. But overall, trade discussions will take place, and we should have more clarity in a week or two,” said Ashish Chauhan, MD and CEO of the National Stock Exchange (NSE). At this point however, the US administration has stayed put on the tariffs, with Trump calling it “medicine” for the global economy.
This week, the primary market is quiet, with no new IPOs scheduled on either the mainboard or the SME segments. However, two companies are set for listing after four made their debut last week.
Two SME IPOs are set for listing this week
Infonative Solutions, a education content maker, received total bids of 4.3X the total shares offered, with its retail category subscribing 8.2X. The company is scheduled to list on the BSE SME platform on April 8.
Infonative Solutions leads in retail bids, while Spinaroo lags behind
Spinaroo Commercial, a paper products company, saw overall subscription of 1.5X, with the HNI segment at 1.8X. It will also list on the BSE SME platform on April 8.
Four new companies debuted on the bourses last week
Shri Ahimsa Naturals and ATC Energies both debuted on April 2. Shri Ahimsa listed at a 17.6% premium to its issue price of Rs 119 and is now up 23.9%. ATC Energies listed at a discount of 9.3% and has since fallen further to 22.2%.
Shri Ahimsa and Indetixweb gain post listing, others decline
Identixweb listed on April 3 with a muted debut, gaining 1.9%, but later climbed to 12.3% gain.
Retaggio Industries debuted on the bourses on April 7 with a 0.4% gain but later slipped to a 2.8% discount to its issue price.
Major announcements in the primary market last week
Here’s a look at the companies that filed draft IPO papers with SEBI last week, featuring a mix of fresh equity issuance and offers for sale:
- Tata Capital: This Rs 15,000 crore IPO includes 2.3 crore fresh shares, the rest via an offer for sale.
- Swastika Infra: Rs 200 crore fresh issue, plus 19.2 lakh shares via an offer for sale.
- Anand Rathi Share and Stock Brokers (refiled): Rs 745 crore fresh issue, with no offer for sale.
- Runwal Enterprises: Rs 1,000 crore fresh issue, with no offer for sale.
- Pace Digitek: Rs 900 crore fresh issue, with no offer for sale.
- Ardee Engineering: Rs 500 crore fresh issue, plus Rs 80 crore via an offer for sale.
- ESDS Software Solution: Rs 600 crore fresh issue, with no offer for sale component.
- Prozeal Green Energy: Rs 350 crore each through fresh issue and offer for sale.
- SIS Cash Services: Rs 100 crore fresh issue, with 37.2 lakh shares via an offer for sale.
Additionally, three companies received SEBI approval last week to launch their IPOs:
- IndiQube: Rs 750 crore fresh issue, plus Rs 100 crore via an offer for sale.
- GSP Crop Science: Rs 280 crore fresh issue, plus 60 lakh shares via offer for sale.
- Ganesh Consumer Products: Rs 130 crore fresh issue, plus 1.2 crore shares via an offer for sale.
