IPOs are the process by which a private company becomes publicly traded. To go public, corporations engage with investment banks to introduce their shares to the public market, which requires thorough due diligence, advertising, and regulatory compliance. Initially, only major investors such as hedge funds and banks can participate in the offering. As a result, purchasing shares in an upcoming IPO can be challenging. However, shares of a newly listed company can be purchased by the general public soon after the IPO. Here’s a list of top upcoming IPOs that can help you plan your IPO investments.
List of Top Upcoming IPOs
To help you plan your investment, here is the upcoming IPO list:
1. Puranik Builders IPO
Puranik Builders is a real estate development company that was established in 1990. The company has completed around 35 projects in the Mumbai Metropolitan Region and Pune Metropolitan Region so far. With 17 projects in the pipeline, Puranik Builders is looking to raise Rs. 510 crores through an IPO.
Indegene is a healthcare tech company in India that provides management, research and development, and a host of other services to pharmaceutical firms. The company plans to raise Rs. 950 crores by selling its shares to the public.
3. Survival Technologies
Survival Technologies is an Indian company that offers contract research and manufacturing services (CRAMS). As one of the few specialty chemical companies in India, the firm manufactures a variety of products from the heterocyclic and fluoro-organic product groups for sale both in India and abroad.
4. Hexagon Nutrition
It is a fully-integrated and research-oriented pure-play nutrition company. The company’s product portfolio includes fortification of food, therapeutic nutrition, clinical nutrition, and malnutrition treatment.
5. Tata Play
Tata Play, formerly Tata Sky, is India’s largest satellite television operator with more than 19 million subscribers and Walt Disney Co. as its biggest investor. Tata Play is seeking to sell its entire 29.8% shareholding in the IPO.
What is the Process of Investing in an Upcoming IPO?
The following are the two steps that will help you invest in an IPO.
1. Pick an IPO you would like to invest in
Investing in an IPO requires research since previous data on performance, management, and other critical variables may not be available. The first step to investing in an IPO is to choose which one to invest in. A prospectus is distributed to the public by every company that announces an IPO, which contains details about the company’s operations and future plans. You should thoroughly read this prospectus and research the company before making a decision.
2. Open the Necessary Accounts
To invest in a new IPO and then trade it on the secondary market, you’ll need three accounts:
- Demat account: Your shares are kept electronically in a Demat account.
- Bank account: Investing in the stock market requires funding. When applying for an IPO, you need a bank account. Almost all net-banking systems allow you to apply for IPOs through the Application Supported by Blocked Amount (ASBA) feature.
- Trading account: You can purchase and sell stocks through a trading account.
How to Apply for IPO?
- Log into your account and select the issue from the current IPO section.
- Enter the number of lots and price at which you would like to apply.
- Next, enter your UPI ID and click submit. Your bid will be placed with the exchange.
- You will receive a mandate notification for blocking funds in your UPI account.
- After you approve the mandate request, your funds will be blocked.
Pre-requisites for applying for an IPO
An Indian citizen with a PAN card can open a Demat account and apply for an IPO in India. A trading account is not required to apply for an IPO, however, you may have to sell your holdings after the IPO is credited to your account.
In addition to checking your eligibility, you must also research the company you wish to invest in. However, although the previous year was a great year for IPOs, some companies have still shown a lackluster performance so far this year. Therefore, prior to investing in an IPO, it is important to conduct thorough research.
Payment can be made via UPI – Fill in the bid details in the application form and use your UPI ID to process the payment. Find a list of banks that accept UPI, and create a UPI ID if you do not have one. An ASBA (Application Supported by Blocked Amount) bank account is another option for submitting an IPO application. However, if your account doesn’t have enough money, you can’t apply for an IPO.
Investing in upcoming Initial Public Offerings (IPOs) allows investors to take part in various companies’ growth stories. Also, it is crucial for investors to keep up to date on the latest market trends, company performances, and user experiences with stock trading app as they evaluate their options. To make an informed decision, it is also essential to thoroughly research the company’s prospectus. In addition, creating the necessary accounts, including a bank account, a trading account, and a Demat account, facilitates the investment process.