Market volume soars to $17 bn in 6 months

Indian equity capital market has soared 61 per cent to $16.6 billion in the first six months of 2007 on funds from just 100 IPOs, including mega issues like DLF and PFC, against 147 a year ago.

The equity capital market volume has jumped up in this year due to the large sized issuance as only 100 deals have been made in the period as against 147 worth $10.4 billion in 2006 in the corresponding period, data complied by research firm Dealogic show.

The year witnessed mega intial public offerings of realty major DLF and Idea Cellular, which received huge demand of Rs 30,000 crore (Rs 300 billion) and Rs 1,30,000 crore (Rs 1,300 billion) from the investors.

Other major performers include Mindtree, which was subscribed over 103 times witnessing a demand of over Rs 24,483 crore (Rs 244.83 billion), Power Finance Corporation with reponse of about Rs 37,893 crore (Rs 378.93 billion),

and credit rating agency ICRA, which garnered reasonable support.

Post the stellar performances by these issues, the primary market in the country has been abuzz with more and more companies planning to raise funds by listed on the bourses.

Interestingly, initial public offers in the country accounted for 21 per cent of volumes of Asia (excluding Japan), which is up four per cent over the corresponding period in 2006.

Besides, the lead manager and issue arrangers of the issue have raised revenues of about $226 million in the first six months of the year as against $142 million in the same period of 2006, the Dealogic data show.