Indian Economy News

Fundraising through SME IPOs hit a new high in FY24, raising US$ 669.4 million (Rs. 5,579 crore).

  • IBEF
  • March 26, 2024

In FY24, SME IPOs surged, with 190 companies raising US$ 669.4 million (Rs. 5,579 crore), surpassing the previous year's figures. This uptrend was fuelled by retail enthusiasm amid limited mainboard IPO opportunities at the year's start.

However, concerns over potential market manipulation prompted regulatory intervention from Sebi, with investigations into inflated subscriptions and calls for enhanced investor safeguards. Despite heightened scrutiny, SME IPOs continue to attract investors, necessitating reinforced surveillance mechanisms and stricter migration norms. Industry experts advise cautious investment strategies, emphasizing thorough sector and company familiarity for sustainable returns.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.