INDIA INC RIDES RECOVERY WAVE, RAISES $16.7 BLN IN APR-DEC

Despite poor participation from retail investors, India Inc raised $16.7 billion (Rs 78,000 crore) through equity issues in the first eight months of the current fiscal, five times that in the entire financial year ended March 2009, as foreign investors returned and companies resumed expansion activities.

The pick-up in fund-raising coincided with the economy showing clear signs of revival and the sharp rebound in stock market valuations after they hit a low in early March.

However, the amount raised so far in the current fiscal is still far lower than in the corresponding period of 2007-08, a boom year for the stock markets. India Inc raised Rs 125,526 crore between April and November 2007.

The Economic Times

INDIA INC ON A FUND RAISING SPREE, RAISES $9 BN

India Inc is on a fund raising spree, garnering $9 billion (Rs 32,400 crore at the current exchange rates) through sale of shares and convertible bonds to institutional buyers since April as companies, locked out from capital markets for almost a year due to the liquidity crisis, rush to finance growth plans.

The Economic Times

Corp India’s fascination: QIPs

India Inc is flocking to the QIP (qualified institutional placement) market, finding it cheaper and a faster way to mobilise funds. Listed companies are increasingly banking on big institutional investors — but at the cost of retail investors who are not in the reckoning for QIPs. The companies raised Rs 21,700 crore through QIP placements in 2007 as against Rs 3,900 crore in the previous year, a rise of 456 per cent, according to figures compiled by Bloomberg Asia-Pacific League Tables. This is almost equivalent to the amount that companies raised through public issues in 2006. The QIP route which was opened up by the market regulator Sebi two years ago has gained acceptance — and fast at that.

The Indian Express
http://www.indianexpress.com/story/255897.html

2007: A year of big deals

It has been a year of frenzied deal-making. From mega public floats such as the DLF Ltd’s domestic initial public offer (IPO) and and ICICI Bank Ltd’s mega overseas offering, Indian companies raised resources to fund its breakneck pace of growth in 2007. Huge amounts were raised both from the domestic and international bond and equity markets. New avenues such as the qualified institutional placement (QIP) route gained in importance, while convertible offerings were also a hit. The amounts raised in 2007 have been higher than in the preceding years except for domestic bonds, while the number of deals done have also been higher, except for overseas equity offers and domestic bonds. Foreign investment banking firms topped the league tables in five out of six categories, including managing domestic bond issues and QIPs.

MINT
http://www.livemint.com/2007/12/28015000/
2007-A-year-of-big-deals.html