By Divyansh PokharnaThe market ended the final week of FY25 positively, with the Nifty 50 gaining 0.7% during the week. Foreign Institutional Investors (FIIs) resumed buying, and a rally in finance stocks boosted sentiment, driven by expectations of a 25 bps rate cut by the RBI in its April policy meeting.
But uncertainty reigns. On March 30, US President Trump confirmed that his "Liberation Day" tariff plan to be announced on April 2, will apply to all countries, dismissing speculations that he might initially target only a few nations. Ajay Rajadhyaksha, Global Chairman of Research, Barclays, commented, "It is a statement of intent." He added, "At least in my mind, it releases the risk that April 2 is something that markets can't dismiss. I think we will be negatively surprised." Rajadhyaksha also advised clients to be as defensive as possible.
The mainboard IPO segment has no new launches this week, but the SME segment remains active. Three SME IPOs are currently ongoing, and three companies will make their market debut, following four listings last week.
Three SME IPOs are set for listing this week
Two IPOs, Shri Ahimsa Naturals, a coffee ingredients producer, and ATC Energies Systems, a battery maker, will list on the NSE SME platform on April 2. Shri Ahimsa received a total subscription of 58.4X, with its HNI category subscribing 242.8X. ATC Energies received bids of 1.6X, with its QIB segment remaining undersubscribed at 0.4X.
Shri Ahimsa and Identixweb see strong HNI bids; ATC Energies lags
Indetixweb, an IT software firm, received total bids of 24.4X the total shares offered, with its HNI category subscribing 98.2X. The company is scheduled to list on the BSE SME platform on April 3.
Ongoing SME IPOs: Three issues open for bidding
Retaggio Industries, a jewellery company, opened its IPO on March 27, with subscriptions closing on April 2. The listing is scheduled for April 7 on the BSE SME platform. By the second day of bidding, the IPO was undersubscribed at 0.9X.
All SME IPOs see net profit growth in FY24; revenue trends vary
Infonative Solutions and Spinaroo Commercial opened their IPOs on March 28, with subscriptions closing on April 3. Their listings are scheduled for April 8 on the BSE SME platform. By the end of the first day, both IPOs were undersubscribed at 0.5X and 0.1X, respectively.
Four new companies debuted on the bourses last week
Desco Infratech listed on April 1 at a 6.7% premium to its issue price of Rs 150 and is now trading with a 12% gain.
Desco Infra and Rapid Fleet gain post listing, others decline
Rapid Fleet Management and Active Infrastructures both debuted on March 28. Rapid Fleet listed with a gain of 1.6%, while Active Infrastructures debuted flat on the bourses.
Grand Continent Hotels listed on March 27 at a discount of 0.1% and has since fallen further by 0.3%.
Major announcements in the primary market last week
- Gym chain operator Cult.fit has appointed investment bankers for its upcoming IPO. Axis Capital, Jefferies, Goldman Sachs, Morgan Stanley, and JM Financial have been selected as the book-running lead managers for the issue. The Zomato-backed company aims to raise up to Rs 2,500 crore through the IPO, which would value the company at around Rs 17,000 crore.
- SEBI reported that Indira IVF Hospital has decided to withdraw its IPO papers. The fertility firm had filed draft papers with SEBI through the confidential pre-filing route in February. Indira IVF had proposed to raise Rs 3,500 crore via an IPO, which was entirely an offer-for-sale with no fresh issue component.
- Manipal Hospitals has reportedly finalised the banks for its RS 8,550 crore IPO. The company has selected Goldman Sachs, Axis Capital, Jefferies, Kotak Mahindra Capital, and JP Morgan to manage the public offer. According to reports, the IPO draft papers are expected to be filed by June this year. Manipal Hospitals is likely to have a valuation of over Rs 68,400 crore, with the group potentially raising around Rs 6,000 crore through the sale of new shares.
- Meesho, an e-commerce platform, is preparing for an IPO this year and plans to raise around $1 billion. The company has already selected Morgan Stanley, Kotak Mahindra Capital, and Citi as advisers for the IPO. Meesho aims to raise $1 billion, with bankers suggesting a valuation of $10 billion.
