Despite a stable government in place, the public equity market failed to take off in a big way this year. Prime Database, an agency that tracks the primary market, said mobilisation in 2014 came down by 14 per cent.

Overall, companies together raised a meagre ₹1,261 crore, the lowest in 13 years, the previous low being in 2001 when only ₹296 crore was raised.

“2014 witnessed raising of ₹39,127 crore through public equity markets, which was 14 per cent lower than ₹45,440 crore raised in the preceding year,” Pranav Haldea, Managing Director of PRIME Database, said, adding the year could have been much better but for the continuous deferment of several public sector unit offerings. The year, of course, fell substantially short of ₹99,022 crore, the highest amount that has ever been raised in 2010.

“Despite a stable government coming to power and the resultant buoyant secondary market, only six main-board IPOs (previous year three IPOs for ₹1,284 crore) came to the market,” he said. Overall, companies raised a meagre ₹Rs 1,261 crore, the lowest in 13 years, the previous low being in 2001 when only ₹296 crore was raised. The highest-ever mobilisation through IPOs was in 2010 at ₹37,535 crore.

165 cos back off According to Haldea, it is a matter of grave concern that as many as 103 companies which received SEBI approval since January 1, 2009, to collectively raise ₹47,840 crore allowed these to lapse. Approvals are valid for a period of one year.

In addition, 62 companies which had filed their offer documents with SEBI to collectively raise ₹19,973 crore withdrew their offer documents.

“If these 165 companies had been able to hit the market, an additional huge ₹ 67,813 crore, almost the same as the ₹73,130 crore which was actually raised in the six-year period, would have been raised,” he said.

Divestment remains dull Another disappointment is on the disinvestment front. Despite a target of ₹58,425 crore for the current fiscal, only ₹1,780 crore, or 3 per cent of the target, has been achieved. “Again, like in previous years, bulk of the divestments may take place in the last quarter of the fiscal,” Haldea said.