Trends in Upcoming IPOs in 2024: Growth in Financial Inclusion

As the global economy rebounds and companies seek to raise capital for expansion, several firms across industries are preparing for Initial Public Offerings (IPOs) in 2024. For investors, these IPOs offer opportunities to participate in the growth of emerging sectors. Below is an analysis of some of the key upcoming IPOs in 2024, based on the latest data.

1.  Waaree Energies Ltd IPO

Waaree Energies Ltd is one of the most anticipated IPOs of 2024. The company, a leading player in the renewable energy sector, specializes in solar energy solutions. The Waaree Energies IPO is set to open for subscription on October 21, 2024, and will close on October 23, 2024.

Price Band: ₹1,427 – ₹1,503 per share

Lot Size: 9 shares

Issue Size: ₹4,321.44 crore

Waaree Energies is capitalizing on the growing demand for clean energy, driven by global efforts to combat climate change. The company’s IPO is expected to attract institutional and retail investors alike due to its strong market position and growth prospects. With increasing government incentives for renewable energy and the company’s established presence, this IPO is expected to generate significant interest.

Key dates to note include the listing date of October 28, 2024. The company’s ability to expand in both domestic and international markets could make this a lucrative opportunity for investors focused on sustainable sectors.

2.  Deepak Builders & Engineers India Ltd IPO

Deepak Builders & Engineers India Ltd is another upcoming IPO, scheduled to open for subscription from October 21, 2024, to October 23, 2024. The company operates in the infrastructure and construction sector, specializing in large-scale projects across India.

Price Band: ₹192 – ₹203 per share

Lot Size: 73 shares

Issue Size: ₹260.04 crore

With significant government spending on infrastructure projects under initiatives like the Smart Cities Mission and urban development schemes, Deepak Builders & Engineers is well-positioned for growth. The construction industry in India is projected to grow at a compound annual growth rate (CAGR) of 5.7% between 2023 and 2028, and this IPO gives investors a chance to tap into this expansion.

The company’s listing date is set for October 28, 2024. Investors will closely watch the firm’s project pipeline and execution capabilities, as the construction sector is prone to delays and cost overruns. Deepak Builders’ track record of delivering projects on time could enhance its appeal among potential investors.

3. Premium Plast Ltd IPO

Premium Plast Ltd, an SME, is set to launch its IPO from October 21, 2024, to October 23, 2024. The company operates in the plastic manufacturing sector, producing a wide range of plastic products for industrial and commercial applications.

Price Band: ₹46 – ₹49 per share

Issue Size: ₹26.20 crore

As demand for plastic products continues to grow across industries such as packaging, automotive, and electronics, Premium Plast Ltd aims to leverage this growth to scale its operations. However, the plastics industry faces challenges related to sustainability and environmental concerns. Investors will likely evaluate the company’s efforts toward adopting eco-friendly practices, especially in the face of increasing regulations on plastic use.

Premium Plast Ltd’s IPO is expected to attract interest from retail investors due to its affordable price band and the growing demand for plastic products in various sectors. The listing date is yet to be finalized, but it will likely generate interest within the SME sector, which has seen significant growth in recent years.

4. Danish Power Ltd IPO

Danish Power Ltd, a company in the energy sector, is preparing for its IPO, opening for subscription on October 22, 2024, and closing on October 24, 2024. Danish Power focuses on renewable energy solutions, particularly solar and wind energy.

Price Band: ₹360 – ₹380 per share

Lot Size: 300 shares

Issue Size: ₹197.90 crore

With the renewable energy market projected to grow at a CAGR of 8.4% between 2023 and 2027, Danish Power Ltd is poised to benefit from the shift toward cleaner energy sources. The company has been expanding its footprint in solar and wind projects, positioning itself as a key player in the renewable energy space.

The IPO offers investors an opportunity to invest in the booming clean energy sector. The listing date is October 29, 2024, and the firm’s performance will likely be influenced by its ability to execute projects efficiently and secure long-term contracts in the energy market.

5. Usha Financial Services Ltd IPO

Usha Financial Services Ltd, a financial services company, is planning to go public with its IPO opening on October 24, 2024, and closing on October 28, 2024. The company focuses on providing financial solutions, including loans, insurance, and wealth management services.

Price Band: ₹160 – ₹168 per share

Lot Size: 800 shares

Issue Size: ₹98.45 crore

The financial services sector in India is witnessing robust growth, driven by increased financial inclusion and digitization. Usha Financial Services Ltd aims to expand its customer base, particularly in underserved markets. The company’s growth strategy is aligned with government initiatives that promote financial literacy and access to banking services.

Usha Financial Services Ltd is expected to attract interest from retail investors due to its relatively low price band and the potential for growth in India’s expanding financial services market. The listing date is set for October 31, 2024, and investors will focus on the company’s ability to manage risk and maintain profitability in a competitive industry.

Upcoming IPO Trends in 2024

2024 is shaping up to be an exciting year for IPOs, with companies from various sectors—ranging from renewable energy to financial services—going public. The global IPO market is expected to continue its recovery, with sectors like clean energy, technology, and infrastructure leading the charge.

According to PwC, the global IPO market is projected to grow by 10% in 2024, driven by economic recovery and increased investor appetite for growth sectors. Companies in industries such as renewable energy and financial services are well-positioned to capitalize on favourable market conditions. Additionally, SMEs are expected to play a bigger role in the IPO market as more small- and medium-sized businesses seek public funding to scale their operations.

The upcoming IPOs in 2024 offer a diverse range of opportunities for investors, from renewable energy giants like Waaree Energies to financial services firms like Usha Financial Services. With sectors such as clean energy, infrastructure, and finance experiencing significant growth, these IPOs provide a chance to invest in industries poised for expansion. As companies prepare to list their shares on the stock market, investors will closely monitor subscription levels, financial performance, and market trends to make informed decisions.