IPO Watch: Review of 2023

Initial Public Offerings (IPOs) are a source of buzz and excitement in the financial world, and 2023 didn’t see a shortage of IPOs in India. After China, India had the highest number of IPOs in the calendar year 2023. With a year-on-year increase of nearly 56%, it is the highest annual growth of IPOs in the world. A total of 240 IPOs were available for subscription during the year. This included 58 main board IPOs and 182 small and medium enterprise IPOs.

To begin with, let us look at some of the top-performing IPOs of 2023.

IPOs With Most Listing Gains

Tata Technologies – Listed on 30 November 2023, Tata Technologies shares of Rs 500 ended the listing day at Rs 1,314. This is a listing day gain of 162.85%. The share is now trading at around Rs 1,175. Tata Technologies is a multinational product engineering company established in 1989.
ideaForge Technology – ideaForge Technology ended the listing day at Rs 1,295.5, which is 92.78% higher than its listing price of Rs 672. The IPO was listed on 7 July 2023. Since its listing, the share has corrected sharply by over 35%, to its latest price of Rs 836. ideaForge manufactures unmanned aircraft for mapping and surveillance.
Utkarsh Small Finance Bank – Listed close to ideaForge on 21 July 2023, Utkarsh SFB posted a 91.76% gain on listing day against its issue price of Rs 25. Encouragingly, the share has further soared from its listing day price of Rs 47.94 and is presently trading at Rs 60.
Indian Renewable Energy Development Agency Ltd – IREDA was listed on 29 November 2023 and has been the star performer among the newly listed companies of 2023. Its Rs 32 share was listed at an 87% hike of Rs 59.99. It doubled its listing day price in mid-December, now settling down to the Rs 105 range. IREDA is a mini-Ratna PSU established in 1987.
Motison Jewellers – This jewellery company added shine to the 2023 IPO story with its Boxing Day listing gain of 83.96%. The Rs 55 share debuted at Rs 101 and is resting at Rs 125.2 after hitting the upper circuit.

Other Top Performers – IPO 2023

A few other companies have capitalised on their moderate listing day gains by performing well during the year. It includes,

Signature Global (India) Limited – Issue price Rs 385, Listing price Rs 458.4, Current price Rs 1,046
Cyient DLM – Issue price Rs 265, Listing price Rs 420.75, Current price Rs 661.5
Netweb Technologies – Issue price Rs 500, Listing price Rs 910.5, Current price Rs 1,184
Senco Gold – Issue price Rs 317, Listing price Rs 404.95, Current price Rs 716.55
Vishnu Prakash R Puglia – Issue price Rs 99, Listing price Rs 145.93, Current price Rs 217.9
EMS Limited – Issue price Rs 211, Listing price Rs 279.75, Current price Rs 452.25
Concord Biotech – Issue price Rs 741, Listing price Rs 941.85, Current price Rs 1,546.85
Sah Polymers – Issue price Rs 65, Listing price Rs 89.25, Current price Rs 128.05
Mankind Pharma – Issue price Rs 1,080, Listing price Rs 1,424.05, Current price Rs 2,054.8

Standout SME IPO Performances

Many SMEs have put on a phenomenal display after their listing. Here is a look at a few facts on SME IPOs 2023,

18 SMEs saw 100% listing day gains, with three more companies with 99% gains
63 SMEs are or have traded at twice their issue price, i.e., a 100% increase
16 of them have tripled in share price, 7 of them quadrupled
9 SMEs have increased by more than five times their issue price. These companies are,

Company Name	Listed On	Issue Price	Listing Day Close	Listing Day Gain	Current Price	Total Gain
RBM Infracon	Jan 4, 2023	36.00	55.10	53%	565.55	1471%
Meson Valves India	Sep 21, 2023	102.00	203.45	99%	645.00	532%
Gayatri Rubbers and Chemicals	Feb 7, 2023	30.00	36.75	23%	190.00	533%
Vishnusurya Projects and Infra	Oct 10, 2023	68.00	76.65	13%	443.30	552%
Sahana System	Jun 12, 2023	135.00	171.15	27%	810.00	500%
Exhicon Events Media Solutions	Apr 17, 2023	64.00	67.20	5%	378.35	491%
Remus Pharmaceuticals	May 29, 2023	1,229.00	1,796.80	46%	7,151.00	482%
Srivari Spices and Foods	Aug 18, 2023	42.00	106.55	154%	251.55	499%
Bondada Engineering	Aug 30, 2023	75.00	149.62	99%	415.50	454%

IPO Response During the Year

The response to the SME IPOs can be gauged from the aforementioned discussion, while mainboard IPOs also enjoyed a good response during 2023. As many as 41 IPOs were oversubscribed by more than ten times, out of which 16 IPOs were oversubscribed by more than 50 times. Nine other IPOs were oversubscribed by more than three times.

13.21 lakh retail investors responded to IPOs on average during the year, significantly more than the 5.66 lakh who averaged in 2022. Tata Technologies received the most retail investor responses, followed by DOMS Industries and INOX India.

A Rewarding Year for Debutants

Across mainboard and SME IPOs, we have seen several success stories in 2023. The investor response and listing gains bounced off each other to showcase a rewarding year for the stock market newcomers. Get ready with the red herring prospectuses of 2024, because it is time to spot the next big thing in the IPO parade!