• Investment World
• eWorld
• Brand Line
• Mentor
• Life
• Brand Quest
• The New Manager
• BL Club
• Smartbuy
• Books
• Gallery

Stocks

• Quotes
• SE Diary
• Scoreboard
• Open-End Mutual Fund

Cross Currency

• Rates
  
  

Shipping

• Ports
  
  

Archives

• Yesterday
• Datewise
• Resources
• In Focus
• In Depth
• Events 2007

Group Sites

• The Hindu
• The Hindu ePaper
• Business Line
• Business Line ePaper
• Sportstar
• Frontline
• The Hindu eBooks
• The Hindu Images

BL Research Bureau

Chennai, July 1 Action in the debt market in terms of new issues eclipsed that in equities in the first half of 2009, Bloomberg’s latest League Tables for the Indian Capital Markets show. The study shows that companies raised Rs 66,500 crore through debt offerings, but only Rs 14,500 crore through equity and rights offerings between January and June.

Domestic equity and rights offerings fell 64 per cent in value over the same period of last year. Syndicated block deals from companies such as Suzlon and DLF, in which promoters sold a chunk of their stakes to institutions, made up 57 per cent of the amount raised from equities. Qualified institutional placements were the next preferred route for equity fund raising, accounting for 38 per cent of the sum raised. As rights offers plunged sharply over the same period last year, only two IPOs hit the market in the first half. Deutsche Bank, Morgan Stanley, Citigroup and JP Morgan were the top investment bankers in equity, involved in 80 per cent of the offerings.

While equity offers were few and far between, debt issuances rose dramatically. Domestic bond offerings, in contrast, were up 65.8 per cent from the first half of last year with 152 securities being issued. For the June quarter, debt offerings raised nearly 95 per cent more than they did in the same period last year. Average offer sizes were larger this year than in 2008. Axis Bank, Standard Chartered, HSBC and ICICI Sec PD were the top arrangers of debt offers in the first half, notes Bloomberg.

More Stories on : Stock Markets | Debt Market

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Copyright © 2009, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line