Thursday, August 10 2006 16:29 Hrs (IST) - World Time -

Mumbai: The tremendous investors' response to the two big IPO's of Tech Mahindra and GMR Infrastructure is likely to lure those promoters who had shelved their IPO plans back into the market, market watchers said pointing to the trend in the last ten days.

Some of the companies that have rushed IPO applications to market regulator Sebi this week, include Lanco Infratech Limited, ICRA and the Bangalore-based Sobha Developers.

"The IPOs of companies such as Global Vectra Helicorp Ltd., Malwa Industries and Bluebird, are also on track. These companies are expected to enter the market once they receive observations on their Draft Red Herring Prospectus (DRHP) from the Securities and Exchange Board of India (Sebi)," they said.

"Encouraged by the recent uptrend in the market, companies that had shelved their IPOs, even after regulatory approvals were received, following high volatility on the bourses, are now ready to enter the market," the analysts said.

One such company is Kew Industries, which has already received SEBI observations on its DRHP. The company now plans to enter the market towards the end of this month.

The rally in the Sensex in the last ten days, in excess of 1,000 points, has also encouraged companies to enter the market after a two-month lull.

Lanco Infratech Limited, an infrastructure development company with interests in power generation, construction and property development, filed its Draft Red Herring Prospectus (DRHP) on August 7 with Sebi.

Investment and Credit Rating Agency (ICRA) also filed the DRHP with Sebi on Monday to raise funds from the market by diluting its holding. Realty major Sobha Developers too filed its DRHP with SEBI for its IPO on Monday.