Booming India Primary Market Lures Funds Away From Pricey Stocks.

Global funds are increasingly investing in India's primary market, which offers new-share offerings, preferential allotments, and sales to large investors. This trend is driven by the high valuations of Indian secondary-market stocks, which are among the priciest in the world. The allure of gaining earlier exposure to Indian companies through the primary route is strong, especially with over $10 billion in IPOs expected in the second half of the year. India has become one of the busiest venues globally for initial public offerings, with companies raising over $12 billion this year. The benefits of buying new shares in the primary market are evident in the case of Vodafone Idea Ltd., where investors have seen notional profits of over 45%. [Extracted from the article]