Abstract

The case discusses the state of the IPO market in India in early 2008. It examines the reasons why some of the IPOs were withdrawn during this period, and also deals with some of the criticisms against the IPO process, such as high issue prices and regulatory laxity. The recommendations of the Group on review of the issue process (GRIP) and the Indian Finance Ministry’s proposals are also discussed.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Understand the IPO market in India.
• Examine the role of gray market in the functioning of the primary market in India.
• Discuss the reasons for the withdrawals of three IPOs in India in early 2008.

Keywords

US Housing Market, Interest rate cut, Money auctions, Subprime Crisis, Mortgage backed Securities, Housing bubble, Secondary Mortgage market, Federal Funds Rate, Collateralized Debt obligations, US Federal Reserve, Recession, Bear Stearns, Inflation