Upcoming IPO in January 2018: Silly Monks IPO opens Tomorrow

Upcoming IPO in January 2018 comprises of Apollo Micro System IPO expected to come next week. This week Silly Monks IPO is opening on 5^thJan under BSE SME IPO segment.

Banking, financial services and insurance (BFSI) sector is expected to continue to dominate IPO fundraising in 2018, though a number of other sectors such as auto and real estate too are expected to expand in 2018.

Triggers for IPO Market

Positive market outlook, the efficiency of the Indian markets, government’s disinvestment programme as well as the presence of aggressive PE (private equity) investors in interesting new age businesses which are looking for listing, all of these factors will boost to bring diversity to the IPO market and provide investors new opportunities to invest in IPOs in FY18. Moreover, the general election is due in 2019, so lot of companies will try to raise funds in the first three quarters of 2018.

Silly Monks Entertainment (SMEL) IPO

Silly Monks IPO will open on January 5th and close on January 10th, and the shares will be listed on the NSE Emerge. The company has planned to raise ₹15.12 crore through the public offer of 12.60 lakh equity shares of face value ₹10 each. The issue price is INR 120 per equity share.

The funds raised will be used to  acquire audio and video content and to expand their presence across the country. In the first half of FY 18, the company has reported the revenue of ₹6.54 crore. The company seems to have used aggressive pricing in this strong market conditions.

The company is in Digital Media, which is growing at an alarming rate due to increased use of internet. The investors may go for an IPO.

Upcoming IPO in 2018

According to an EY report, in 2017 there was approximately 153 initial public offers came in the Indian stock market in 2017 and raised $11.6 billion. In the fourth quarter of 2017, there was an  increase of 47 per cent quarter-on-quarter in terms of number of deals and 22 IPO’s came into the market.

In 2018, major IPO’s line up to come includes Government-owned Hindustan Aeronautics Ltd (HAL), in which the government will divest 10% stake in the company through the offering. Others that will come are Aster DM Healthcare Limited, Logistics company Continental Warehousing Corporation (Nhava Sheva) Ltd, Mumbai-based Bharat Serum and Vaccines Ltd, Gurugram-based Acme Solar, NSE, ReNew Power , ICICI Securities, Reliance General Insurance, Apollo Microsystems etc.