DEFINITIONS & EXPLANATORY NOTES
An issue of shares or debentures (or any other instrument) made to the public in terms of a SEBI-approved prospectus or an offer for sale document.
Public Issue could be,
IPO : Initial Public Offering (first-time raising of equity by a company from the public)
FPO : Follow-on Public Offering (further equity raising by an already-listed company from the public)
An issue of shares or debentures (or any other instrument) made to the existing shareholders of an already-listed company in terms of a SEBI-approved letter of offer.
An issue of shares or bonds made by an Indian company to overseas investors, typically through a GDR/ADR offering.
An issue of corporate bonds and debentures made to an identified set of investors in terms of a private placement offer document (not requiring SEBI approval). Only institutional and corporate debt placements (excluding SLR securities), including structured deals placed through arrangers are considered. Private placements of equity are not covered.
Qualified Institutional Placement
A private placement of equity shares or securities convertible into equity shares by a listed company only to registered Qualified Institutional Buyers.
From the total present issue of a company, the amounts relating to promoters' contribution, rights issue and all firm reservations to any body (foreign collaborators, mutual funds, institutions) are deducted to arrive at the public issue amount. In the case of debt issues with or without a greenshoe option, the public issue amount considered is the retained amount.
The total amount offered in terms of a rights issue is considered.
The total amount offered in term of an overseas issue, inclusive of retention of oversubscription, is considered.
Amount retained by the issuer is the amount considered. This retained amount can either be greater than the issue amount in case of oversubscription where the Company exercises full/ part greenshoe option or can be lower than the issue amount in case of undersubscription. (In a very few cases where the amount retained is not available to us, the amount considered is the issue amount plus green shoe amount ; the incidence of such issues is only about 2%).
Qualified Institutional Placement
The total amount offered in terms of a qualified institutional placement is considered.
All instruments which are pure debt in nature (Bonds, NCDs).
Equity & Convertibles
All equity issues (whether at par or premium), convertible debenture issues (FCDs, PCDs etc), preference shares and other instruments not in the nature of pure debt.
The data base on public issues, rights issues and overseas issues is 100% comprehensive.
As far as the private placement data is concerned, information is widely scattered with no regulatory body assigned with the responsibility of monitoring such placements. Compounding this is the fact that many issuers and arrangers are not forthcoming with information about their issues. Worse is the state of general apathy of organisations to respond or to share information. For compilation of data on private placements, the initial set of data for each year is compiled through various sources including press reports and advertisements as well as through personal visits to several issuers and arrangers. The set of data so compiled is then circulated to all the issuers as well as the arrangers for their confirmation. The response received is updated. The updated data is once again sent to all the issuers and arrangers for their final confirmation. The response received is finally updated. Some issuers have not been forthcoming with their response and hence it is possible that the data relating to their issues is not complete or fully correct. However, as all major issuers as well as almost all the leading arrangers participate in this exercise, our database can be considered fully representative of the state of the market.