Summary
Start-up companies in India are increasing their presence in public stock markets with several initial public offerings (IPOs). Notably, eyewear company Lenskart quickly sold out its IPO despite high valuation concerns. The current trend shows a significant number of these young tech businesses making gains, but there are ongoing concerns about their valuation and profitability.
Key Facts
- Lenskart, an eyewear start-up, had a fully subscribed IPO within hours.
- Groww, a retail brokerage backed by Microsoft's CEO, had high investor interest with its IPO being oversubscribed 17 times.
- Pine Labs, a financial technology company, is preparing to list its shares soon.
- Over 40 start-ups have issued IPOs in India this year, five times more than in 2020.
- Many new investors, such as small retail investors, mutual funds, and insurance companies, are entering India's stock markets.
- There are concerns about high valuations as some companies are not yet profitable.
- Experts note the growing participation and better regulation in the market.
- Some start-up IPOs like Zomato and Nykaa have been successful for early investors.
