BIGGEST MONTH FOR IPOS IN 7 YEARS

September is likely to be the biggestmonth for initial public offerings (IPOs) in seven years, with sixdeals cumulatively worth ~14,100 crore expected to hitthe market. IPOs ofDixon Technologies and BharatRoad Network, worth ~600 crore each, opened on Wednesday, while thatofCapacite's Infra and Matrimony.com will hitthe marketnextweek. Big-ticket IPOs of ICICI Lombard and SBI Life Insurance are expected will hitthe market later this month, investmentbankers said. ICICI Lombard obtained Sebi nod for the IPO on Tuesday. SBI Life is yet to obtain Sebi green light. If all the deals go through, this will be the second-bestmonth for IPO mobilisation in the historyofdomestic markets after October 2010, when ~17,673 crore was raised through sixdeals, which included Coal India’s ~15,000-crore offering. The supplyofnewpaper, however, could weigh on the secondarymarket. In the past five years, there have been onlyfour months with four or more IPOs. The average Sensexreturn for these months is a negative 1.55 per cent. Overall, the fundraising exercise is expected to be high in the remaining period of 2017, given the line-up oflarge IPOs from the insurance sector.