LOSING SHEEN
THE WEEK|May 01, 2022
Volatile markets and cautious investors force tech startups to rethink their IPO plans
NACHIKET KELKAR
LOSING SHEEN

Indian equity markets had a dream ride in 2021, with 63 companies going public and raising ₹1.19 lakh crore. Among them, One 97 Communications, the parent company of the fintech major Paytm, made the biggest buzz, raising ₹18,300 crore in November 2021 and overtaking state-run miner Coal India’s ₹15,199 crore IPO in 2010 as India’s biggest.

Eight other tech startups also went public last year—beauty products e-tailer Nykaa (FSN Ecommerce), food aggregator Zomato, gaming company Nazara Technologies, travel technology company RateGain, travel platform EaseMyTrip, insurance aggregator PolicyBazaar (PB Fintech), online automotive portal CarTrade Tech and MapMyIndia (CE Infosystems). Amid an equity market euphoria fuelled by easy money policies of global central banks in the wake of the pandemic, investors lapped up the shares of these newage companies. The issue of Nazara Tech, for instance, was subscribed as much as 175 times, EaseMyTrip 159 times and Nykaa 82 times.

Some of them went on to touch new highs post listing. Nazara Tech share was worth ₹3,354.40 on October 11, 2021, a three-fold gain over its issue price. Nykaa and Zomato more than doubled.

The fortunes, however, seem to have reversed in 2022. Paytm, which had set an issue price of ₹2,150, closed at ₹661.85 on April 18—a 69 per cent slump in five months. CarTrade Tech was down 61 per cent since listing, PB Fintech was down 21 per cent and RateGain had fallen 10 per cent from its issue price.

Denne historien er fra May 01, 2022-utgaven av THE WEEK.

Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.

Denne historien er fra May 01, 2022-utgaven av THE WEEK.

Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.

FLERE HISTORIER FRA THE WEEKSe alt
William Dalrymple goes further back
THE WEEK India

William Dalrymple goes further back

Indian readers have long known William Dalrymple as the chronicler nonpareil of India in the early years of the British raj. His latest book, The Golden Road, is a striking departure, since it takes him to a period from about the third century BC to the 12th-13th centuries CE.

time-read
3 mins  |
November 17, 2024
The bleat from the street
THE WEEK India

The bleat from the street

What with all the apps delivering straight to one’s doorstep, the supermarkets, the food halls and even the occasional (super-expensive) pop-up thela (cart) offering the woke from field-to-fork option, the good old veggie-market/mandi has fallen off my regular beat.

time-read
2 mins  |
November 17, 2024
Courage and conviction
THE WEEK India

Courage and conviction

Justice A.M. Ahmadi's biography by his granddaughter brings out behind-the-scenes tension in the Supreme Court as it dealt with the Babri Masjid demolition case

time-read
2 mins  |
November 17, 2024
EPIC ENTERPRISE
THE WEEK India

EPIC ENTERPRISE

Gowri Ramnarayan's translation of Ponniyin Selvan brings a fresh perspective to her grandfather's magnum opus

time-read
4 mins  |
November 17, 2024
Upgrade your jeans
THE WEEK India

Upgrade your jeans

If you don’t live in the top four-five northern states of India, winter means little else than a pair of jeans. I live in Mumbai, where only mad people wear jeans throughout the year. High temperatures and extreme levels of humidity ensure we go to work in mulmul salwars, cotton pants, or, if you are lucky like me, wear shorts every day.

time-read
2 mins  |
November 17, 2024
Garden by the sea
THE WEEK India

Garden by the sea

When Kozhikode beach became a fertile ground for ideas with Manorama Hortus

time-read
4 mins  |
November 17, 2024
RECRUITERS SPEAK
THE WEEK India

RECRUITERS SPEAK

Industry requirements and selection criteria of management graduates

time-read
3 mins  |
November 17, 2024
MORAL COMPASS
THE WEEK India

MORAL COMPASS

The need to infuse ethics into India's MBA landscape

time-read
5 mins  |
November 17, 2024
B-SCHOOLS SHOULD UNDERSTAND THAT INDIAN ECONOMY IS GOING TO WITNESS A TREMENDOUS GROWTH
THE WEEK India

B-SCHOOLS SHOULD UNDERSTAND THAT INDIAN ECONOMY IS GOING TO WITNESS A TREMENDOUS GROWTH

INTERVIEW - Prof DEBASHIS CHATTERJEE, director, Indian Institute of Management, Kozhikode

time-read
3 mins  |
November 17, 2024
COURSE CORRECTION
THE WEEK India

COURSE CORRECTION

India's best b-schools are navigating tumultuous times. Hurdles include lower salaries offered to their graduates and students misusing AI

time-read
8 mins  |
November 17, 2024