As many as 123 small and medium enterprise (SME) initial public offerings (IPO) have hit the market in 2017.
In an interview to CNBC-TV18, Raj Sharma, Chairman of Majestic Research Services and Solutions, which listed in mid-2015 and is one of Asia's largest independent full service market research companies and Mahavir Lunawat, Group Founder & MD of Pantomath Group which has handled the maximum SME IPOs overall discussed about the road ahead and what the risks are.
Lunawat said as much as 50 percent of these companies have turnover of less than Rs 50 crore; these are the companies with low base and economy is in their favour so they can give quantum growth.
He further said that the average IPO size of 317 companies that have got listed so far is close to Rs 10 crore.
Sharma said that the contribution or benefit of listing is massive.
"We are working on 100 companies; we are associating with a lot of government departments and even stock exchanges and doing a lot of thought leadership and entrepreneurship development programmes in the SME clusters across the nation and the response has been phenomenal," said Lunawat.For entire discussion, watch accompanying video.