IPO drought to end in March with nine companies seeking to raise over Rs 17,000 crore
The two-month dry spell for the primary market seems to be ending, as nine companies may hit the market in the next four-six weeks to raise more than ₹17,000 crore, bankers said. After a few initial public offerings (IPOs) launched in December struggled to sail through, investors and companies turned cautious amid a weak secondary market. Companies planning to enter the primary market in the next 4-6 weeks, according to bankers, include Avalon Technologies, Capillary Technologies, Cogent Systems, Divgi TorqTransfer Systems, Mankind Pharma, Nexus Malls REIT, Signature Global, TVS Logistics, and Utkarsh Small Finance Bank
Other Highlights of the Week
Microfinance industry grows 26% year-on-year to Rs 3.24 lakh crore by December end
The massive jump in their gross portfolio cemented NBFC-MFIs’ dominance in the sector with 38.5% market share. Only three months back, NBFC-MFIs regained their leadership in lending to the economically weaker section by overtaking banks. Banks enjoyed 35.7% market share at the end of December, according to a quarterly report published by Sa-Dhan, a microfinance industry bod.
RBI imposes restrictions on 5 co-operative banks
The Reserve Bank of India on Friday imposed several restrictions on five cooperative banks, the customers of HCBL Co-operative Bank, Lucknow (Uttar Pradesh); Adarsh Mahila Nagari Sahakari Bank Maryadit, Aurangabad (Maharashtra); and Shimsha Sahakara Bank Niyamitha, Maddur, Mandya District in Karnataka cannot withdraw funds from their accounts due to present liquidity position of the three lenders
However, customers of Uravakonda Co-operative Town Bank, Uravakonda, (Anantapur District, Andhra Pradesh) and Shankarrao Mohite Patil Sahakari Bank, Akluj (Maharashtra) can withdraw up to Rs 5,000.
The eligible depositors of all the five cooperative banks would be entitled to receive deposit insurance claim amount of his/her deposits up to Rs 5 lakh from the Deposit Insurance and Credit Guarantee Corporation
Digital sector can contribute 25% GDP by the time India becomes a $7 trillion economy: KV Kamath
Noted banker KV Kamath, who now chairs the National Bank for Financing Infrastructure and Development (NaBFID), expects the digital sector to contribute a quarter of the incremental GDP by the time the economy becomes a USD 7 trillion giant by FY29. Currently, the contribution of the digital economy is a low 4 per cent, whereas it is as much as 40 per cent in China.
Stakeholder consultation for Digital India Bill likely from March: Rajeev Chandrasekhar
Chandrasekhar also said the government is waiting for firms such as Facebook and Google to come up with a concrete framework for fact-checking information on its platforms and the government will not notify the policy unless a clear model emerges.
Many countries drawn to India’s UPI: PM Modi in ‘Mann Ki Baat’ address
Prime Minister said the country has seen that at the time of the Covid-19 pandemic, the eSanjeevani App has proved to be a great boon for the people. It is a shining example of the power of Digital India, he said
