Nearly 75% of the total equity listed in 2022 is trading above its offering price, even as global macro concerns and stock market turmoil have dampened the number of initial public offerings (IPOs) this year.

In 2022, nearly 37 companies have proposed IPO plans to raise more than Rs 58,500 crore. Around 33 companies have listed on the exchange, and almost 25 are trading above their offering prices.

Four companies – Sula Vineyards, Abans Holdings, Landmark Cars and KFin Technologies – due to list on exchanges by the end of the year are also trading 5-10% higher on the grey market. Analysts expect the opening prices of the four IPOs to be flat or higher on their debuts.

Adani Wilmar was the best-performing IPO, up more than 174% from its IPO price, followed by Hariom Pipe Industries, Veranda Learning Solutions and Venus Pipes & Tubes, all up more than 100% from their IPO price.

Among losers, AGS Transact Technologies fell 59.7%, while Uma Exports, Life Insurance Corp and Delhivery lost more than 24%. Shares in Inox Green Energy Services, Uniparts India and Keystone Realtors Ltd were down slightly from their offering prices.

After learning some hard lessons from last year’s IPO market, retail investors have remained cautious and selective this year. Some 63 companies raised close to Rs 1.2 trillion in IPOs in 2021, with many new-age companies reaping huge returns on the day they listed despite substantial losses. However, after its splashy debut, New Era’s shares began to fall amid global market volatility, with half of its shares now down on the IPO price.

The IPO market is gradually recovering, experts say, as foreign institutional investors turn to buyers after a months-long sell-off and domestic stocks hit record highs. With analysts expecting many IPOs in 2023, interest from retail investors is likely to pick up again, as the overall outlook for equities remains positive due to strong consumer demand, a resilient domestic macro economy and strong earnings growth expectations.

Analysts at foreign brokerages, including Morgan Stanley and Goldman Sachs, expect India to continue outperforming other emerging markets, although valuation issues remain. Goldman Sachs sees a 12% chance of Nifty gains from current levels, with the benchmark index reaching 20,500 by the end of 2023. Morgan Stanley expects the Sensex to hit 80,000 by December 2023 if India is included in the global bond index, which could lead to $20 billion in inflows in the ensuing 12 months.