Thread by @stockgro

1/ What's been happening in the #IPO market lately?🤔

Let's find out! ⬇️

2/ Things are looking bleak😕as the filing of draft red herring prospectuses (DRHP) has dropped by over 50% in FY23, thanks to concerns over 👇

📈 High valuations,
🌎 Geopolitical tension
💸 Rising interest rates

3/ And with many companies withdrawing their IPO papers as they were not hopeful of getting a good share price, the current market conditions could be better. 😔

4/ Only 66 companies submitted offer documents compared to 144 during FY22, and even those that did list their IPOs are facing some tough times.

Many companies withdrew their papers, and investors feel wary after seeing underperforming IPOs in the past 18 months. 📉

5/ But wait, there's hope! 🌟

With more than 50 companies receiving the green light from the market regulator to launch, such as @FabindiaNews, @AadharHousing Finance and CMR Green Technologies Limited, things might get better. 💡

6/ However, whether these IPOs will actually hit the market will depend on a lot of factors, such as:

🏦 Global central banks move on interest rates,
🌎 Global #recession
🦠 Resurgence of Covid-19

7/ Do you think this IPO winter will last for a long time?