India’s capital markets have returned following
the election of Narendra Modi last month. Domestic IPOs are
expected – perhaps at the cost of foreign
The largest Indian conglomerates have already taken
advantage of the equity capital markets’ sudden
, returning with qualified institutional placements (QIPs).
Those can be executed quickly; IPOs take more time.
Since last September, when the Ministry
of Finance released new regulations for direct offshore
listings for unlisted companies, companies have been able
to list onshore or overseas. But regulatory uncertainty and a
strong home market mean that market participants expect more
"We haven’t yet
seen anyone willing to bite the bullet and be the first
to list under the new rules"
"The return of the Indian capital markets mean that we
expect relatively fewer offshore listings," said Rajiv Gupta of
Latham & Watkins.
There will always be sector-specific listings, he added. For