Indian Startup IPO Rush Cools as Geopolitical Tensions and Market Volatility Delay Public Listings
मुख्य बातें
- •Indian startups like PhonePe ($1.3bn IPO on hold) and Flipkart are delaying public listings due to US-Iran war fallout and volatile markets.
- •Only 20 mainboard IPOs raised under ₹20,000 crore in the first five months of 2024, down from over ₹27,000 crore in each of the past two years.
- •Sebi has extended IPO approval validity by six months to September 2024, with another six-month extension expected.
- •Four out of six new-age firms listed in 2024 have opened below issue price, dampening investor appetite for large tech IPOs.
- •Investors are now more selective and value-sensitive, prompting startups to defer IPO plans by at least a quarter.
Mumbai: After a robust two-year streak of initial public offerings (IPOs) that saw Indian startups flood Dalal Street with high-profile listings, the momentum has sharply decelerated in 2024. Rising geopolitical tensions—particularly the ongoing conflict between the United States and Iran—have introduced fresh uncertainty into global financial markets, prompting several major companies to postpone or scale back their plans to go public. Among the most notable examples is PhonePe, which has temporarily shelved its planned $1.3 billion IPO that was originally scheduled for April. Similarly, Flipkart is reportedly taking a cautious approach, with no immediate plans to proceed with its IPO preparations amid volatile market conditions.
