22 IPOs withdrawn on poor performance

Despite having valid Sebi approval in hand to enter the capital market with an initial public offering IPO,22 companies that were planning to raise an aggregate Rs 8,392 crore pulled out of the primary market in calendar year 2012.

Reid amp; Taylor,Tata Autocomp,Micromax,Embassy Property,Joyalukkas,Lokmat Media,VRL Logistics,Aravali Infrapower and Semantic Space Technologies are among those that called off their IPOs in the current calendar year. Some of the companies saw their validity period of one year for coming up with an IPO lapse.

About four IPOs,which were cumulatively planning to raise about Rs 2,000 crore,were withdrawn due to poor response after the opening of the public issue. This list includes Samvardhana Motherson,Goodwill Hospitals,Plastene and Galaxy Surfactants.

The performance of the primary market depends on the health of the secondary market. Policy paralysis,rupee depreciation,volatile and sluggish markets,and foreign fund outflows affected in a big way, said Jagannadham Thunuguntla,research head,SMC Global.

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