Increased inclination of banks and financial institutions towards IPOs
MUMBAI: Banks and financial institutions are pouring their money into initial public offerings (IPOs) as a result of massive liquidity and soft loans. The money was being channeled through a qualified institutional buyer's route, a research firm said in a report.
The amount of money raised in IPOs so far in 2021 is at a four-year high. In the current year, banks and financial institutions have invested Rs 50 crore in IPOs, up from Rs 21 crore in 2014 and Rs 5 crore last year.
The report also said that when record funds were raised through IPOs in 2016, banks and financial institutions had invested Rs 5 crore in IPOs through qualified institutional buyers.
According to the data received so far, various companies have raised Rs 515 crore through IPOs in the current year.
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