The IPO market has been buzzing with action. The last few months saw record number of new issuances including marquee names like Tata Capital and LG Electronics India. Long seen as a barometer of investor optimism, there appears to be some silent shifts across the IPO market. According to Sanjeev Prasad, MD & Co-Head, Kotak Institutional Equities , while India’s primary market remains active on the surface, the quality of issuances and the intent behind them are beginning to shift. The detailed report by Kotak Institutional Equities noted that fund use for new projects is seeing a decline and more IPOs are now trading below issue price, even as a large pipeline keeps sentiment upbeat.

Kotak’s data show that 80 companies have raised around $14 billion, nearly Rs 1.17 lakh crore in

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