The IPO market in 2024 has seen a significant uptick in activity, particularly during September, which witnessed a flurry of filings. In September alone, 41 companies submitted their offer documents to market regulators, hinting at a busy season. However, October 2024 appears to be a quieter month for initial public offerings compared to the previous month. Despite the slower pace, there are still a few high-profile debuts on the horizon, including notable names like Swiggy, Garuda Construction, and Hyundai Motor India. Here's a detailed breakdown of the upcoming IPOs to watch in October.
Garuda Construction and Engineering is set to launch its IPO on October 8, 2024, with an aim to raise Rs 264.10 crore. The offer price for the IPO is set between Rs 92 and Rs 95 per share. The issue will close on October 10, giving investors a brief window to participate.
The IPO will consist of a mix of newly issued shares and an Offer for Sale (OFS). The proceeds from the fresh issue of shares will largely contribute to raising the target capital, while the OFS will allow existing shareholders to sell their stake.
The allocation of shares for Garuda Construction and Engineering's IPO is expected to be finalized on October 11, with the listing likely to take place on October 15, 2024. Corpwis Advisors will serve as the sole lead manager for this IPO, while Link Intime India has been appointed as the registrar, responsible for handling the IPO’s administrative processes.
The launch of Garuda Construction and Engineering's IPO holds considerable significance in the construction and engineering sectors. It will provide investors with an opportunity to invest in a company that is involved in infrastructure development, a key sector contributing to India's overall economic growth.
Hyundai Motor India is preparing for a monumental IPO, expected to be the largest in the history of the company and one of the biggest in the automotive sector. Scheduled to open on October 14, 2024, Hyundai aims to raise Rs 25,000 crore through this offering.
Unlike some other IPOs, Hyundai's will be entirely an Offer for Sale (OFS), meaning that the company will not issue new shares but instead sell 142.19 million shares already held by existing stakeholders. This offering is based on Hyundai's draft red herring prospectus (DRHP) filed in June 2024.
Hyundai’s IPO marks a significant event for the Indian automotive industry. The last major automaker to go public in India was Maruti Suzuki back in 2003, making Hyundai’s offering highly anticipated. This IPO will give investors a rare opportunity to buy into one of the country’s largest automotive manufacturers.
Given Hyundai's strong market presence and dominance in India's automobile sector, this IPO is expected to generate considerable interest from institutional and retail investors alike. The company’s established brand, wide range of products, and strong financials could make this one of the most sought-after IPOs of 2024.
Food delivery giant Swiggy is set to enter the public market by the end of October 2024, with an aim to raise Rs 11,664 crore (approximately $1.4 billion). The IPO is expected to make waves in India's tech sector, as Swiggy is one of the largest and most popular food delivery platforms in the country.
Swiggy’s shareholders recently approved a significant change in the structure of the offering. The fresh issue component of the IPO, originally pegged at Rs 3,500 crore, has been increased to Rs 5,000 crore. Meanwhile, the Offer for Sale (OFS) portion remains unchanged at Rs 6,664 crore.
The upcoming Swiggy IPO could represent a major milestone for India's tech IPO landscape. It would provide investors with a rare opportunity to buy into one of the most prominent companies driving the food delivery revolution in India. Swiggy's success in the public market will likely set the tone for other tech-based companies considering IPOs in the near future.
The Swiggy IPO is expected to attract a wide array of investors, from institutional investors looking to invest in high-growth tech companies to retail investors eager to participate in the booming digital economy. Given Swiggy's massive user base, technological advancements, and dominant position in the food delivery market, the IPO is anticipated to be a major success.
October IPOs: Summary and Market Outlook
While October may not be as crowded with IPO launches as September was, it still holds the potential for significant market movements. The debuts of Swiggy, Hyundai Motor India, and Garuda Construction are likely to capture the attention of both institutional and retail investors. Swiggy’s entrance into the public market could be a landmark event for India's tech IPO space, while Hyundai's IPO is expected to be a major highlight for the automotive industry. Garuda Construction’s offering will appeal to those with an interest in the construction and infrastructure sectors.
These IPOs reflect the diversity of sectors that are seeking public investment, ranging from food delivery and automotive to construction and engineering. Investors can look forward to these launches as opportunities to diversify their portfolios and participate in some of the most dynamic sectors of India's economy.