Upcoming IPOs In March 2022 - Bharat FIH, Delhivery, Snapdeal, And More!

The IPO rage of 2020 wasn't just a flash in the pan moment for India. 63 new IPOs including the likes of Zomato, Nykaa, and Paytm raised a whopping ₹1,18,704 crores in 2021.

This was the highest ever amount raised via IPOs in India in a calendar year. 2022 will definitely give its predecessor a run for its money as the top upcoming IPOs in March are expected to raise over ₹16,000 crores.

In fact, there are more expected upcoming IPOs in March 2022 (10+) compared to 2021 (2). In this blog, we’ll walk you through these very IPOs that are likely to hit the Indian markets in March 2022.  

List Of IPOs In March 2022

The following list of IPOs include a diverse bunch of Indian companies from the world of logistics, healthcare, electronics, and more. The biggest IPO of the lot may end up raising at least ₹7460 crores.

1. Delhivery 

Delhivery is a logistics company whose upcoming IPO in March 2022 is expected to fetch ₹7460 crores. The breakup of Delhivery’s IPO is as follows:

• Issuance of fresh shares worth ₹5000 crores
• Offer-for-sale of ₹2,460 crores
  

Delhivery started out as an express delivery solution for offline stores in 2011. Today, Delhivery’s service is used by top brands like Amazon, Flipkart, Snapdeal, Myntra, and others. You may also see a Cube Wealth Coach or download the Cube Wealth app to effectively implement these tactics and accomplish long-term financial objectives.

Delhivery has raised funding from investors like: 

• SoftBank: $413 million (2019)
• Fidelity: $277 million (2021)
  

Delhivery’s revenue stood at ₹3838 crores in FY21 but it also registered a loss of ₹415 crores for the same period. Net loss during Q1 FY22 was ₹129.58 crores while income from operations was ₹1,317.72 crores. 

2. Bharat FIH 

Bharat FIH is India’s top electronics manufacturing services provider with a 15% share in the EMS space in FY21. Founded in 2015, Bharat FIH’s new IPO in March 2022 is expected to raise ₹5004 crores.

The breakup of the Bharat FIH IPO is as follows:

• Fresh issue of shares worth ₹2,502 crores
• Offer-for-sale of ₹2,502 crores
  

With a market share of 23%, Bharat FIH is the largest EMS provider in the mobile phone space in India and is Xiaomi Technology’s top mobile phone manufacturing and assembly services provider.

Bharat FIH’s revenue for FY21 stood at ₹15,854.86 crores compared to ₹26,635.56 crores in FY20. Furthermore, EPS was ₹0.68 for FY21 as opposed to ₹2.08 in FY20.

3. Rainbow Children’s Medicare 

Rainbow Children’s Medicare is a hospital chain that is looking to raise  ₹2000 crores with its upcoming IPO in March 2022. RCM’s IPO split is as follows:

• Fresh issue of shares worth ₹280 crores
• Offer-for-sale of 2.4 crore equity shares
  

RCM’s promoters Adarsh Kancharla, Dinesh Kumar Chirla, Ramesh Kancharla and investors CDC Group and CDC India are expected to exit their holdings via the OFS. 

RCM started out with a pediatric speciality hospital of 50 beds in 1999. Today, Rainbow Children’s Medicare has 1,500 beds spread out across 14 hospitals in six Indian cities. You may also see a Cube Wealth Coach or download the Cube Wealth app to effectively implement these tactics and accomplish long-term financial objectives.

RCM’s profit for Q1 and Q2 FY2022 stood at ₹81.22 crores, up from ₹23.31 crores from the same period last year. Revenue also increased to ₹512.55 crores from ₹309.78 crores in the six month period.

4. Snapdeal

Snapdeal is an e-commerce company that was founded in 2010. Back then, Snapdeal functioned as a “deals of the day” platform but pivoted to full-fledged e-commerce operations in 2011. 

Snapdeal’s upcoming IPO in March 2022 will help the company raise as much as ₹1250 crores and is broken down into:

• Fresh issue of shares worth ₹1250 crores
• Offer-for-sale of 30.77 million shares
  

SoftBank, eBay, BlackRock, Temasek Holdings Pte, and others are the leading investors in Snapdeal who can exit their holdings via the OFS, the proceeds of which will not go to Snapdeal. You may also see a Cube Wealth Coach or download the Cube Wealth app to effectively implement these tactics and accomplish long-term financial objectives.

While Amazon and Flipkart are known to provide big-ticket items like laptops and mobile phones, Snapdeal’s operation is focused on small to mid-range items like table mats, sauna belts, etc. 

This has allowed Snapdeal to generate revenue of ₹471 crores in FY21, falling sharply from ₹846 crores in FY20. But, net merchandise value rose to ₹374 crores in Q2 FY22 versus ₹311 crores in Q2 FY21. 

5. Asianet Satellite Communications 

Asianet Satellite Communications is a cable TV and Internet Service Provider (ISP) that was founded in 1993. ASC’s IPO in March 2022 is estimated to raise ₹765 crores, which is broken down into:

• Fresh issue of ₹300 crores 
• Offer-for-sale of ₹465 crores
  

Promoters and investors of Asianet Satellite Communications include Akshay Rajan Raheja, Viren Rajan Raheja, Coronet Investments, Hathway Investments, and Bloomingdale Investment and Finance.

ASC revenue from operations in FY21 stood at ₹510.07 crores, up by 13% year on year from ₹450.91 crores. Annual profit for FY21 leapt to ₹31.03 crores from ₹0.29 crores in the previous fiscal year.

FAQs 

1. What are some of the upcoming IPOs in March 2022? 

Ans. Some of the upcoming IPOs in March 2022 include Bharat FIH, Delhivery, Snapdeal, and more. These IPOs represent investment opportunities in various sectors.

2. How can I participate in an IPO? 

Ans. To participate in an IPO, you typically need a demat account, a trading account, and a bank account linked to your trading account. You can apply for IPO shares through a broker or directly through the company's website, if available.

3. What are the risks associated with investing in IPOs? 

Ans. Investing in IPOs carries certain risks, such as price volatility, uncertainty about the company's future performance, and the possibility of not receiving the desired number of shares due to oversubscription.

4. Can retail investors participate in all IPOs, or are some restricted to institutional investors?

Ans. Many IPOs are open to both retail and institutional investors. However, some IPOs may have a portion reserved for institutional investors or employees of the company.

Conclusion

The upcoming IPOs in March 2022 include big brands like Delhivery, Bharat FIH, Rainbow Children’s Medicare, Snapdeal, Asianet Satellite Communications, and others. 

These IPOs look set to raise an amount upwards of ₹16,000 crores. While this may seem thrilling on paper, investing in new and upcoming IPOs is known to be a tricky task. 

New IPOs of top brands like Paytm, Nykaa, Zomato, and others have tanked. This has led many investors to understand the challenges that come with investing in IPOs. 

That said, aggressive investors who want the flavour of IPOs with the comfort of a solid historical track record can explore options like:

• Asset Leasing by Grip (12% post-tax returns)
• International mutual funds (12-16% returns)
• Small-cap mutual funds (10-12% returns)
• Equity advisory by Purnartha (CAGR of 35% as of 01-22)
  

Note: Facts & figures are true as of 09-03-2022. None of the information shared here is to be construed as investment advice. Exercise caution when investing in assets like stocks, mutual funds, alternative investments, and others.