Top performing IPOs: These 5 IPOs give up to 350% return in FY24

As many as 76 companies raised around ₹62,000 crore from public investors through mainboard IPOs in the financial year 2023-24 (FY24). Total funds raised were around 19% higher than that in the previous financial year while the number of companies that hit the capital market rose by two-fold from 37 in FY23.

Tata Technologies, BLS E-Services, Muthoot Fincorp, JSW Infrastructure, Inox India Ltd, Mankind Pharma and Indian Renewable Energy Development Agency were among the 76 companies which hit the IPO street in FY24.

However, around 13 companies gave multifold returns to investors in the last financial year. Here is the list of top five IPOs with the highest returns in 2023-24.

Indian Renewable Energy Development Agency (IREDA)

State-run renewable energy project financier IREDA topped the list of best IPOs in FY24 with multifold returns of around 356%. The stock jumped to ₹135.9 per share at March-end this year against the issue price of ₹32 per share. The issue was subscribed around 38-times while returns on the listing day were around 87%. Record loan growth in the fiscal has fuelled the stock price of the company.

Signature Global (India) Ltd

Affordable housing developer Signature Global (India) Ltd was second in providing the best returns in FY24. The stock jumped to ₹1,359.2 per share as of March 28, 2024, against the issue price of ₹385 per share, delivering a return of over 252% in the last financial year.

The public issue was subscribed around 11 times while listing day returns were around 19%. The government focus on providing housing to all and better financial results have supported the rally in Signature Global shares.

Netweb Technologies India

India’s leading supercomputing manufacturer Netweb Technologies India provided multiple returns of around 221% in FY 2023-24. The company shares rose to ₹1,607.7 as of March 28 against the issue price of ₹500 per share. The issue was subscribed around 90 times while listing day gains were around 82%. Shares of the company surged on a tie up with NVIDIA for AI and supercomputing and steady revenue and margin guidance for FY24.

Motisons Jewellers

Motisons Jewellers IPO has given returns of around 191% since its listing in December 2023. The stock jumped to ₹160.1 on March 28, 2024 against the issue price of ₹55 per share. The company’s well-established business, diverse product portfolio catering to various market segments and strategically located showrooms have fuelled a rally in the stock.

Cyient DLM

Design-led manufacturing solutions provider Cyient DLM provided returns of 171% in FY24 to investors. The stock rose to ₹720.4 per share against the issue price of ₹265 per share. A strong growth in profit and revenue in the third quarter of FY24 supported the gains in the stock.

In addition to these five top IPO performers of FY24, the investors in several public issues also received more than 100% return in FY24.

In FY 2023-24, companies from across the sectors hit the capital markets to raise funds. Financial sector companies which were dominant players in the IPO market in FY 2022-23 accounted for a fifth of total funds raised in FY24. Similarly, less number of new-age companies hit the IPO street in FY24.

Market data showed that the average listing day gains were 29% in FY24 compared to 9% gains in 2022-23. Around 55 stocks or 70% of stocks are trading above the issue price.

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