Abstract

The Covid 19 Pandemic has deeply affected almost all the world and India is no exception. With other segment of the market, the Indian primary market too witnesses some activity during the pandemic and its performance of the primary market was impacted in terms of number of IPOs hitting the market and their post listing performance. Though many studies have been carried out to analyse this, not many have dug deeper into specific companies and analysed the performance of all the companies that have been listed through this period. The performance of company’s post getting listed and how the pandemic has affected these companies have yet to be studied in detail. Through this research paper the researchers aim to fulfil this gap and understand the effects of the pandemic on the performance of primary market. The research is based on secondary data from the financial markets. The data comprises of 30 companies that came out with their IPO during the year 2016 to 2021 according to their market capitalization. Multiple Regression, t-test and Event Study Techniques have been applied to analyse and evaluate the impact of Covid 19 on the performance of companies which came up with their Initial Public Offering from 2016 to 2021. Result showed that Covid 19 impacted the companies which came out with their IPOs between 2016 and 2021. Also, Primary market saw a greater number of IPOs hitting the market due to a well performing secondary market during this period. The study is useful for market participants, analysts and investors to understand the impact of Covid 19 on Primary market as well as the performance post listing so that they can take informed decision.

Author: Pratika Agarwalla and Saima Rizvi

Received on: August, 2021

Accepted on: March, 2023