FY21: A Rocking Year for the IPOs

29 IPOs were listed in the FY21 with an issue size of more than Rs 200 cr. The 29 IPOs raised ~29000 cr. Some IPOs like Mrs. Bectors Food Specialities Limited, Burger King India Limited, Mazagon Dock Shipbuilders Limited, Chemcon Speciality Chemicals Limited, Happiest Minds Technologies Ltd, Nazara Technologies Limited, Laxmi Organic Industries Limited, Easy Trip Planners Limited and Indigo Paints Limited were subscribed more than 100 times.16 out of 29 IPOs listed at premium over the issue price.

MTAR Technologies signed off the year by being the highest subscribed IPO, 200 times. 

Let’s discuss, some of the IPOs of FY21 in detail.

_{Source: Ace Equity, 
Last close as on 31st March 2021. List and close price is as per BSE.}

Nazara Technologies:
Nazara Technologies India Ltd (Nazara) is a leading India based diversified gaming and sports media platform with presence in India and across emerging and developed global markets such as Africa and North America. Its offerings include interactive gaming, eSports and gamified early learning ecosystems. Some of the marquee individual investors include Mr. Rakesh Jhunjhunwala and Mr. Utpal Sheth.

The stock listed at 79% premium over the issue price. The Nazara Technologies IPO was subscribed 175.4 times. The issue size was Rs 321.60 cr.

Kalyan Jewellers India Ltd.
Kalyan Jewellers India Limited is one of the largest jewellery companies in India based on revenue as of March 31, 2020. It is a pan-India jewellery company with 107 showrooms located across 21 states and union territories in India, and 30 showrooms located in the Middle East. The company designs, manufactures, and sells a wide range of gold, studded, and other jewellery products across various price points ranging from jewellery for special occasions, such as weddings, to daily-wear jewellery.

The stock listed at 15% discount over the issue price. The IPO was subscribed 2.61 times. The issue size was Rs 832.67 cr.

Laxmi Organic Industries Ltd.
Laxmi Organic Industries Ltd is a specialty chemical manufacturer that operates in 2 business segments; Acetyl Intermediates (AI) and Specialty Intermediates (SI). It is the leading manufacturer of ethyl acetate with over 30% market share in the Indian ethyl acetate market and the only manufacturer of diketene derivatives in India.

The stock listed at 20% premium over the issue price. The IPO was subscribed 106.8 times. The issue size was Rs 423.26 cr.

Easy Trip Planners Ltd.
Easy Trip Planners Limited offers ‘end to end’ travel solutions which include air tickets, hotels and holiday packages, rail tickets, bus tickets and taxis as well as ancillary value added services. As per industry reports, it is ranked 2nd among the Key OTAs in India in terms of booking volume during 9MFY21 and third among the Key OTAs in India in terms of GBV in FY20.

The stock listed at 10% premium over the issue price. The IPO was subscribed 159.3times. The issue size was Rs 282.01 cr.

MTAR Technologies Ltd.
MTAR Technologies (MTAR) is a leading precision engineering solutions company engaged in the manufacture of mission critical precision components with close tolerances (5-10 microns), and in critical assemblies, to serve projects of high national importance, through its precision machining, assembly, testing, quality control, and specialized fabrication competencies, some of which have been indigenously developed and manufactured (Source: CRISIL Report). MTAR primarily serves customers in the clean energy, nuclear and space & defence, sectors. Some of its key customers include Nuclear Power Corporation of India Limited, Indian Space Research Organisation, Defence Research and Development Organisation, and Bloom Energy Inc., United States

The stock listed at 85% premium over the issue price. The IPO was subscribed 200.7 times. The issue size was Rs 417.49 cr.

Anupam Rasayan India Ltd.
Having commenced business as a partnership firm in 1984 as a manufacturer of conventional products, Anupam Rasayan India (ARIL) has evolved over the years into custom synthesis and manufacturing of life science related specialty chemicals and other specialty chemicals, which involve multi-step synthesis and complex technologies, for Indian and global customers. It has two distinct verticals, life science related specialty chemicals (95.37 % for revenue from operations for FY20) comprising products related to agrochemicals, personal care and pharmaceuticals and other specialty chemicals.

The stock listed at 4% discount over the issue price. The IPO was subscribed 44 times. The issue size was Rs 538.45 cr.

Indigo Paints Ltd.
Indigo Paints (Indigo) is the fifth-largest decorative paints company in India, with a larger presence in tier 3/4 towns and rural areas coupled with a strong portfolio of differentiated products. Indigo derives 45% of its sales from emulsion paints. Also, it has a distinguished portfolio of differentiated products based on end-use and value-added properties, which include products such as floor coat emulsion, bright ceiling coat, tile coat, dirt-proof and waterproof exterior laminate.

The stock listed at 75% premium over the issue price. The IPO was subscribed 117 times. The issue size was Rs 1,160.13 cr.

Mrs. Bectors Foods Specialities Ltd.
Mrs. Bectors Food Specialities Limited (MBFSL) is one of the leading companies in the premium and mid-premium biscuits segment and the premium bakery companies in the North Indian (Source: Technopak Report). It manufactures and markets its premium and mid-premium biscuits under its flagship brand ‘Mrs. Bector’s Cremica’ and its bakery products in savory and sweet categories under its brand ‘English Oven’.

The stock listed at 74% premium over the issue price. The IPO was subscribed 198 times. The issue size was Rs 544.35 cr.

Burger King India Ltd.
Burger King India (BKI) is the national master franchisee of the BURGER KING® brand in India, with exclusive rights to develop, establish, operate and franchise Burger King branded restaurants in India. Since the opening of its first restaurant in November 2014, it has reached 200+ stores in less than five years. Its total restaurant count stands at 261 as on September 30, 2020 including eight Sub-Franchised Burger King Restaurants, across 17 states and union territories and 57 cities across India.

The stock listed at 92% premium over the issue price. The IPO was subscribed 156.6 times. The issue size was Rs 810 cr.

Mazagon Dock Shipbuilders Ltd.
Mazagon Dock Shipbuilders Ltd. (MDL) is a Defence Public Sector Undertaking under ministry of Defence. It is one of the India’s leading shipyards with a maximum shipbuilding and submarine capacity of 40,000 DWT (Source: Crisil).  The shipyard builds and repair warships and conventional submarines at its facilities in Mumbai and Nhava for the MoD for use by the Indian Navy and other vessels for commercial clients. Since 1960, MDL has built a total of 795 vessels including 25 warships, from advanced destroyers to missile boats and three submarines. MDL had also delivered cargo ships, passenger ships, supply vessels, multipurpose suppose vessels, water tankers, tugs, dredgers, fishing trawlers, barges and border outposts for various customers in India as well as abroad.

The stock listed at 49% premium over the issue price. The IPO was subscribed 157.4 times. The issue size was Rs 443.69 cr.

Route Mobile Ltd.
Route Mobile Ltd. (RML) is a leading Global Cloud Communications Platform service provider, catering to enterprises, over-the top (OTT) players and mobile network operators (MNOs). Its range of services include messaging, Rich Communication Services (RCS), OTT business messaging, voice, email and SMS filtering, omni-channel communication, analytics & monetization.

The stock listed at 102% premium over the issue price. The IPO was subscribed 73.3 times. The issue size was Rs 608.70 cr.

Happiest Minds Technologies Ltd.
Happiest Minds Technologies Ltd. (HMTPL), is a relatively younger IT solutions provider (Incorporated in FY11) which was born digital and has specialization in disruptive technologies. It offers services like Software and Infrastructure as a Service, Security, Analytics, and IoT. As on FY20, its Product Engineering Services (PES, 50.5% of revenue) was the largest BU while Edu-Tech and Hi-Tech are the largest verticals accounting for ~21% of revenue.

The stock listed at 111%premium over the issue price. The IPO was subscribed 150.9 times. The issue size was Rs 386.11 cr.

The Road Ahead:
The pipeline for FY22 also looks strong with 18 companies holding market regulator Securities and Exchange Board of India’s (Sebi’s) approval proposing to raise nearly Rs 18,000 crore and another 14 awaiting the market regulator’s approval to raise nearly Rs 23,000 crore as per the media reports. “After the huge success in FY21, market experts believe that investors will be cautious and choose only those IPOs that are priced attractively and where companies operate in a niche segment.

_{Disclaimer: The above details is compiled from information available on public platforms. These are not buy or sell recommendations.}