Bihar. This year has so far been quite good for initial public offerings (IPOs) of small and medium enterprises (SMEs). Various entities have raised Rs 3,540 crore through 139 SME IPOs so far this year. This figure is almost double that of last year.
Last year, 109 companies had raised Rs 1,875 crore from SME IPO. This information has been obtained from the data provided by primedatabase.com. Experts said that conditions are expected to remain favorable for SME IPOs in future too. According to the data, a total of 139 IPOs debuted on the SME platform of BSE and NSE. There have been 37 SME IPOs in the month of September alone.
The companies making the maximum investment in these sectors are in the small and medium enterprises sector and are mainly associated with information technology, FMCG (manufacturing of everyday products), auto parts, pharma, infrastructure, advertising and hospitality sectors. Investors have invested the most in these areas. These companies have raised this amount for expansion, to meet working capital needs and to repay loans.
Performance based capital to insurance companies
The Finance Ministry will consider infusing capital into three loss-making government insurance companies in the fourth quarter of the current financial year. The capital will be infused on the basis of their nine-month performance. Last year, the ministry had asked National Insurance, Oriental Insurance and United India Insurance to focus on profits rather than business and accept only good proposals.
