Journal of Commerce and Management Thought
  • Year: 2016
  • Volume: 7
  • Issue: 3

Growth of Initial Public Offering in Different Sectors with Reference to Coimbatore Stock Exchange

1Assistant Professor in the Department of Commerce and Management, Amrita School of Arts and Science, Amrita Vishwa Vidyapeetham University, Kochi Campus, Kochi, Kerala, E-Mail: baladiwansapudur@gmail.com

2Professor and Head, School of Management, SNS College of Technology, Coimbatore, Tamil Nadu, dr_radha_krish@yahoo.co.in

Online published on 6 July, 2016.

Abstract

This research paper discusses the growth of primary market in India. The study is based on secondary data result in number of amount wise issues in the year, issue price and to measures the growth of Initial Public Offering in different sector. When a company issues shares to the public through a prospects it is popularly known as an IPO. Credit of shares allotted in IPO's can be affected in the investors Demat account in Demat form directly. A corporate may raise capital in the primary market by way of an Initial Public offer, rights issue or private placement. An initial public offer (IPO) is the selling of securities to the public in the primary market. It is the largest source of funds with or indefinite maturity for the company.

The IPO's is when an unlisted company makes either a fresh issue of securities or offer sales of its existing securities or both to the first time to the public. This paves way for listing of trading of the issuer's securities.

The primary market is the arena for raising funds from the primary source of savings, (i.e.) investors. A market where the issuers access the prospective investor directly for funds required by them generally either for expansion or meeting the working capital needs. This process is called disinter mediation where the funds flow directly from the investors to issue. So this study helps to know about the growth of amount issued in various sectors and the data were collected using through website that are listed in NSE. Based on the analytical research the findings and suggestion were conducted.

Keywords

IPO, Primary Market