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Context is everything.
Detailed stories on technology startups, business and economic current affairs.
Detailed stories on technology startups, business and economic current affairs.
The numbers are big and impressive, but the fate of India’s biggest ever listing hinges on its owner pricing the issue just so.
Editor's note: On the very first trading day after the government filed the draft IPO prospectus for Life Insurance Corp. of India, the Sensex plunged 1,747 points, or 3%. It looked like an ominous start for what is slated to be the country’s biggest ever initial public offering. Shares of One 97 Communications, which operates Paytm, fared worse. The digital payments company, whose record for India’s biggest public offer is set to be broken by LIC, saw its share price dip over 4% to Rs 863.50. It had listed at a price of Rs 2,150 a share in November 2021. With the global market choppy and uncertainty mounting on factors such as the rising price of crude oil and the Russia-Ukraine stand-off, does it mean LIC’s IPO faces a similar fate? While profitable and asset-heavy LIC is certainly no Paytm, there is a chance that its issue may not catch the fancy of investors, given the current conditions. In the last one month, the equity markets have been especially volatile and the biggest casualties have been investors who put their money into …
While the filing for an IPO by its telecom and digital business was the highlight, Reliance laid out plans for its new energy and retail businesses, setting them up for eventual listings.
As India’s largest stock exchange heads to the public markets, it may need to rethink its excessive reliance on transaction revenue.
As growth in equities cools, asset managers are looking to embed themselves in payrolls, payments, and credit. This raises their influence, but also the stakes.
