The financial year was the largest for India’s primary markets, the IPO collectively cost Rs. Collects over 1.5 lakh crores. The standout deal was for the Food-Delivery Giant Swiggy’s 11,327 crore IPOs, which alone for Rs. 20.7 crore, who advised on the issue.
This made it the only largest fee to lawyers among all IPOs in 2024-25, which is higher than big issues like Hyundai India and HDB Financial.
Hyundai’s Rs. 27,858 crore IPOs paid about Rs 6.4 crore to the consultation and fees to the Ko and JSA, who worked as a consultant. HDB Financial Rs. The issue of Rs 12,500 crore spent around Rs 15 crore, of which Cyril Amarchand Mangaldas and Shadul Amarchand are operated by Mangaldas.
Vishal Magmart, Rs. With 8,000 crore IPOs, Rs 12.1 crore, where Trilegal was in the main advisor. Swiggy, even though smaller than Hyundai by the size of the issue, is at the top of the chart on the full fee payment.
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The report also shows that on the basis of complexity, Rs. More than 5,000 crore IPOs attract legal fees in the range of 6-20 crores. For medium sized issues Rs. Between 1000 crores and Rs 5,000 crore, lawyers paid Rs. The bill was paid in the range of Rs 3-8 crore.
It should be noted that the IPO fee is not always consistent with the size of the issue. They depend on factors such as regulatory complexity, fresh issues offered-for-cells, number of sales shareholders and coordination with foreign investors. This contains a mixture of Swiggy’s IPO, making it more legally intensive.
The IPO market is dominated by a handful of legal companies. Trilegal, Syril Amarchand Mangaldas, Shadul Amarchand Mangaldas, Khaitan and Ko and JSA and JSA handled about 56% of all IPO mandates during the fiscal year 2525.
Within this group, Trilegal, CAM and SAM alone account for about 44% of the total order.
Why is high legal costs for IPOs
Legal advisory fees are also a significant part of the overall cost of IPOs, which are complex, include global partnerships, and are time sensitive. All of these factors pursue legal expenses.
Sebi’s strict advertising regime and rising selection for the pre-IPO round will also add levels of waiting, which is equipped to handle lawyers.
(Disclaimer: The recommendations, suggestions, opinions and views given by experts are their own. This does not represent the views of the economic time)
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