Go Air IPO Review

 

Go Air IPO Review

Go Air is planning to launch its IPO very soon. This is because through IPO it wants to raise Rs.400-500 crores. Go Air is the low cost Airline of India promoted by Wadia Group, India’s one of the oldest group.

The purpose of this IPO and to raise is Rs.400-500 crores is clear. This is because it wants to pay off its Dents and buy more Aircrafts to expand its business.

GoAir spoke person thinks that this is the right time to raise money from the Indian Capital market. And that’s why they are in the talk with various Investment Bankers.

However, I personally feel that this is not the right time to raise money at least for the Aviation sector companies. This is because everyone in India knows that Aviation sector is in trouble.

Recently, many IPOs have been failed and Investors are not very much interested in investing aviation sector of India. This is because there are several other lucrative sectors which grow much more than the Aviation sector (Energy, Financial…etc..)

In my personal opinion, I am not going to subscribe this IPO because I simply think that the Aviation sector is not the lucrative sector. As all of us see that Kingfisher airlines promoted by Vijay Mallya’s UB group is already in trouble.