Upcoming IPOs in July 2023

At the beginning of Q2 of the current fiscal year, several companies lined up for their debut in the stock market. Companies list themselves on the bourses through initial public offerings or IPOs. In the process, businesses raise fresh capital from the market by releasing the equity shares of their companies.  

News about a new IPO is always greeted with lots of market enthusiasm. It is because of the short and long-term gain possibilities that IPOs offer. A company receiving a dose of fresh capital will possibly see growth acceleration, creating opportunities for long-term wealth creation. Similarly, investors can also capitalise on short-term listing gains when they open on the exchange. Keeping these points in mind, let’s look at the list of companies that will launch IPOs in July 2023. 

Upcoming IPOs in July 2023

These are the companies on the list of new IPOs in July.

Details of the New IPOs in July

Penna Cement 

Based in Hyderabad, Penna Cement is a leading private cement manufacturing company. It has a strong presence in 13 Indian states of the western and southern regions. The company has 4 manufacturing units with a total installed capacity of 10 million tons a year.

The company has filed DRHP to raise Rs. 1550 crore in an IPO. The offer contains fresh issues and an offer for sale (OFS) of equity shares worth Rs. 13,000 crore and Rs. 250 crore, respectively. According to the prospectus, the fund will be utilised for repaying debt, upgrading cement and raw grinding mills, and establishing a state-of-the-art waste heat recovery plant.

Sterlite Power Transmission Ltd.

Sterlite Power Transmission Ltd. is another company on the IPO calendar that might debut in July. The company is a leading private player in the power transmission and infrastructure sector with operations in India and Brazil. It has published a prospectus seeking to raise Rs. 1,250 crore funds. It may also conduct a pre-IPO placement activity to raise approximately Rs. 220 crore. 

Companies may conduct sales of large blocks of their stocks through a private route before listing on the bourses. A pre-IPO placement allows companies to raise funds before IPOs and helps offset the risks of the IPO not being as successful as anticipated. 

Fincare Small Finance Bank Ltd.

Fincare Small Finance Bank Ltd. has filed DRHP to raise approximately Rs. 1,330 crore through the IPO route. It will use the funds to bolster its Tier – I capital base and meet the bank’s future capital needs. 

The offer comprises Rs. 330 crore in fresh issues and Rs. 1000 crore in OFS equities from current investors. The selling investors include Fincare Business Services Ltd., Wagner Ltd., North Fund V LLP, Kotak Mahindra Life Insurance Company Ltd., Edelweiss Tokio Life Insurance Company Ltd., Bharti AXA, etc.

Bajaj Energy Ltd.

The company is one of the largest private thermal power-generation companies in India. It operates five 450 megawatts of coal-based thermal power plants in Uttar Pradesh. It has a total installed capacity of 2,430 MW.

The company plans to raise Rs. 5,450 crore in an IPO. It will use the fund to buy stakes in Lalitpur Power Generation Ltd.

Gemini Edible & Fats India

The company is a growing brand in the edible oils and fats segment, with a prominent presence in the southern states of India. It has filed DRHP to raise Rs. 2500 crore in an IPO through a combination of fresh shares and offer for sale equities. 

Gemini Edible and Fats India is one of the upcoming IPOs in July 2023. With the proceeds from the IPO, the company aims to enhance the brand’s visibility.

Chemspec Chemicals Ltd. 

Mumbai-based Chemspec Chemicals Ltd. has filed a DRHP to raise Rs. 700 crore in an IPO consisting of a pure offer for sale from current promoters and shareholders. The company is a leader in manufacturing critical additives for FMCG ingredients used in skin and hair care products. The company proposes to use the funds to provide liquidity to its shareholders and enhance brand visibility.    

The IPO dates are not yet finalised. 

Conclusion 

These are some of the new IPOs in July. However, before investing in any of these, you must read the DRHP carefully and research the company’s fundamentals, financials, and competitive landscape to get a fair idea of its prospects.   

By investing in an IPO, investors participate in the company’s growth story. But IPO investment is considered highly risky because of the significant chances of capital loss. Hence, carefully assess the proposal and your risk appetite before betting money. 

If you would like to participate in any of these IPOs, open a Demat account with Angel One today for free of cost.     

Disclaimer: This article has been written for educational purposes only. The securities quoted are only examples and not recommendations.