In the current financial year, a total of 80 companies have collectively raised ₹1.25 lakh crore through qualified institutional placements (QIPs), setting a new record for any calendar year. This amount raised is 1.8 times higher than the previous fiscal year and 1.6 times higher than the previous best in FY21.
The top 10 companies accounted for approximately half of the total QIP amount raised this year. Notable issuances include Vedanta (₹8,500 crore), Zomato (₹8,500 crore), Adani Energy Solutions (₹8,373 crore), Varun Beverages (₹7,500 crore), Godrej Properties (₹6,000 crore), PNB (₹5,000 crore), Prestige Estates (₹5,000 crore), and JSW Energy (₹5,000 crore).
The real estate, utilities, automobiles, metals, and PSU banks sectors dominated the QIP activity this year. Pranav Haldea, Managing Director of PRIME Database, commented that QIPs are typically utilized in bullish market conditions to raise fresh capital and allow promoters to dilute their holdings at higher valuations.
QIPs are commonly used to raise capital for expansion, debt repayment, and to fund infrastructure projects. The recent market upswing, driven by strong Foreign Institutional Investor (FII) interest, a strengthening rupee against the US dollar, and positive global trends, is expected to further boost the momentum for QIPs.
According to the Association of Investment Bankers of India, the total capital raised through IPOs and QIPs is projected to exceed ₹3 lakh crore in the upcoming fiscal year. This reflects the confidence among promoters to raise funds for various growth initiatives and investments.
