FIRMS LOOK TO REVIVE SHARE SALE PLANS, TAP SIZZLING MKT

MUMBAI: More than half a dozen companies that had filed share sale documents but abandoned the plans midway are taking another shot at going public, feeding off the extraordinary response to initial public offerings (IPOS) after several blistering stock debuts.

Real estate developer Macrotech Developers (Lodha), gaming firm Nazara Technologies, auto parts maker Craftsman Automation, logistics firm Seven Island Shipping are among companies that have either refiled draft share sale documents or plan to do so soon. Some such as Mrs Bectors Foods have already gone public in their second attempt. For Lodha, this will be its third attempt at going public, having first filed draft documents in 2009.

Most of these companies had previously filed draft IPO papers in 2017 or 2018, but a depressed IPO market forced them to shelve their plans. The Covid-19 crisis prolonged their wait. But the huge rally in stock prices that started last year has prompted many of them to re-evaluate plans.

The mad dash for the public markets is also fuelled by the surge in foreign capital inflows. Stunning gains on market debuts have lured millions of retail investors and their institutional counterparts alike.

In 2021, seven companies launched IPOS, with most of them drawing strong investor interest. There are multiple factors driving the IPO activity right now, said Arka Mookerjee, a partner at law firm JSA.