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DIIs and FPIs steering Indian IPO valuations: what the data says about loss-making IPOs and primary-market inflows

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Opinions on Indian stocks and mutual funds Indian

DIIs and FPIs are steering Indian IPOs. DIIs backing loss-making names are shaping valuations, turning debates about profits into a pricing reality [1]. FPIs pumped about Rs 10,708 crore into the domestic primary market in October—roughly $1.2 billion—marking the fourth straight month of primary inflows [2].

DIIs backing loss-making IPOs Discussion centers on DIIs holding stakes in loss-making firms such as Swiggy and Ola Electric, prompting questions about when profits arrive [1].

FPIs and primary-market inflows In October, FPIs invested Rs 10,708 crore into the domestic primary market, channeling about $1.2 billion, with total primary inflows the fourth straight month beating secondary [2]. Overall FPI inflows for October rose to about $1.7 billion [2].

Valuation caution and due diligence One post cautions on valuations and urges due diligence before investing, noting IPO advertising is a legal requirement, to be published in English and vernacular newspapers [3].

Retail investors should watch how these big-money moves translate into real returns as firms scale and profitability timelines play out.

References

[1]
Reddit

Why DIIs have such high stakes in loss making new IPOs?

Discusses DIIs backing loss-making IPOs; questions profits timeline, future bets, and compares with profitable peers like Zomato

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[2]
Reddit

FPIs invest Rs 10,708 crore into Domestic Primary market in October

Foreign portfolio investors boosted October primary market inflows with $1.2b amid IPOs; overall FPI inflows positive driven by festive sentiment.

View source
[3]
Reddit

No, They can't get desperate anymore

Discusses Indian IPO advertising law, critique of valuations, urges due diligence, recognizes exits for promoters, investors beware, and easy money.

View source

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