55% of the companies who raised funds via QIPs in 2025 trade below their issue price

As many as 55% of the companies who raised funds through the Qualified Institutional Placement (QIP) route in 2025 are trading below the price at which they issued shares to eligible institutions, according to the latest study by Motilal Oswal.

After a record year in 2024, where companies raised ₹1.36 lakh crore through the QIP route, the figure has seen a dip this year, with ₹71,800 crore being mobilized by 35 companies, according to the study.

India's largest lender, State Bank of India

(SBI) has contributed to 35% of this tally with its record ₹25,000 crore QIP, while companies such as Swiggy, Biocon, CG Power and Hitachi Energy featuring among the top 10 companies, that comprised of 76% of the total funds raised this year.

However, only one company in this list, Centum Electronics, has doubled from its QIP issue price, with returns of 101% so far. SBI, after its record fund raise, has seen its stock jump nearly 20%, in-line with the surge seen in PSU banks.

Among the underperformers include IREDA, who raised ₹2,000 crore after issuing shares at ₹165 apiece. The stock is down 18% from those levels, along with names like Kaynes Tech, whose shares are down 25% from their QIP issue price of ₹5,570.

Small state-run lenders, with low free float in the market, who also mobilized funds through the QIP route this year, such as Indian Overseas Bank, Punjab & Sind Bank, Central Bank of India, and UCO Bank, have also seen their shares drop 17%, 29%, 7% and 15% from their respective issue price.

Shares of other smaller companies, such as Rajoo Engineers, Genesys International, Shakti Pumps, who raised between ₹200 to ₹300 crore through the QIP route, have seen their shares drop 41%, 31% and 22% respectively from their issue price, according to the Motilal Oswal study.

Among the outperformers, apart from Centum Electronics, only Hitachi Energy has delivered returns in excess of 50% from their QIP issue price, with a 63% gain so far. Other stocks with positive returns include Azad Engineering (Up 31%), Navin Fluorine (Up 26%) and Biocon (Up 21%.)