The Reserve Bank of India article states that the year 2021 may turn into an IPO year, with domestic unicorn enterprises entering the capital market with initial public offering (IPO). With these IPOs, despite the crashes in the domestic stock markets on the one hand, they are working to fuel this enthusiasm among global investors. Unicorns are startups whose market value reaches a billion dollars.
Successful Initial Public Offerings (IPOs) brought in by new companies in recent months reflect the ongoing boom in the Indian technology sector. Reserve Bank in its article “State of the Economy”, “… Growth momentum is promoting financial markets. 2021 could be the year of IPO in India. Matching, it received 38x more applications.
Zomato has received more than 38 applications
The food delivery app Zomato, mentioned in the article, recently launched their IPO and has received applications more than 38 times the specified limit. This article was written by the team of RBI Deputy Governor Michael Debabrata Patra. However, the views expressed in the article do not represent the views of the authors and the opinions of the Reserve Bank, the Reserve Bank said.
PayTM aims to raise $ 2.2 billion
The article cites the example of PayTM, a financial services app “payments and financial services application, proposed by IPO to raise $ 2.2 billion. Digitalization of India – Digital Payment Solutions, E-Commerce, Logistics, Investor Enthusiasm.” Shows The article said the new era is clearly beginning. There are an estimated 100 unicorns in India. These companies do not rely on inheritance funds, bank loans or outside business links, but on talent and innovation.
The economy is growing
The article noted that the economy is on the rise with a gradual pickup in manufacturing activity and a contraction in services. According to the article, overall demand conditions are improving as demand increases after the removal of the Kovid-19 lockdown, but supply conditions are improving and sowing activity is improving as the monsoon reaches its normal level. “The recovery in the economy is accelerating, manufacturing activity is gradually accelerating, but the contraction of services is slow.