5 IPOs to watch out for in 2021

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From the beginning till now, the pandemic has continued to hit the economy like a dark cloud, due to which many initial public offerings were held in the year 2020. As companies began to adjust to the new normal and investors to contribute to the incredible market turnaround, IPOs have come back to life in 2021.

Initial public offerings (IPOs) are instruments through which companies debut shares of themselves for investors to buy and sell on the general public stock markets.

FY 2021 has a list of prospective IPOs already lined up, as investors prepare to take their pick.

Listed below are the biggest potential IPOs in 2021 you can choose from:

 1. LIC

Expected to launch in 2021, The LIC IPO is set to be one of the biggest IPOs ever listed on the Indian stock market. Via its IPO, the company is looking to offer 10% stake in the company in 2021.The government is set to raise INR 80,000 crore worth of funds through this IPO.

2. Nykaa

Nykaa is looking at a stock exchange listing by the end of 2021 or early 2022 at an evaluation of $3 billion. As per the sources, Nykaa has valued the company at approx. $1.8 billion.

3. Paytm

Paytm drives the Indian mobile payments market as it has gained more than 150 to 200 million active users along with 16 million merchants being enlisted with the company. It is expected to launch its IPO in 2021.

4. BYJUs

Backed by the likes of Lightspeed and Sequoia, the online education website BYJUs currently holds a valuation of $10.8 billion.

An increment of 300% in the website’s engagement has been observed as a result of the lockdown and closing of schools and educational institutions. While the entry of the Ambanis in the Ed-tech space implies that BYJUs will have to fight tooth and nail to maintain their market share . Neithertheless, it is one of the most awaited IPOs of 2021

5. Zomato

Being one of the biggest startup success stories of India in recent years, Zomato is expected to launch IPO by September 2021. Zomato became the market leaders in the delivery industry after they acquired Uber Eats in FY20.

It is speculated that Zomato will launch its IPO by June this year, valuing the firm on the stock sector at $6-8 billion.

Among others, Ola, Delhivery, Bajaj Energy, & Policy Bazaar can also be considered while you plan to invest in IPOs.

A block of common stock bought during an initial public offering can lead to a capital increasesin the longer run. . Only the yearly dividend of a successful company can surpass the initial investment amount when given time.

However, the greatest drawback for the IPO investors is managing unpredictable price fluctuations. It can be a difficult task to stay on track when the value of shares tumbles.

 

Disclaimer - Users are advised to use the data for the purpose of information only and rely on their own judgement while making investment decisions.