The merchant bankers have a greater role on the capital issue management comprising primary issues (i.e. new issues) and rights issues. In fact, capital is generated in the Indian primary capital market through capital issue management process performed by SEBI registered merchant bankers called book runner lead managers (BRLMs). Corporate finance is raised from the primary capital market through public offers, rights issues and private placement, etc. Public offer is the largest sources of funds from the primary capital market to the company. Basically, an invitation is made by a company to the public to subscribe to its securities offered through prospectus is called as public offers, which can be adopted either under fixed price, book- building method or pure auction method. Public issues are of two types, namely Initial Public Offer (IPO) and Further Public Offer (FPO).  The study makes a growth analysis of money mobilization in Indian primary capital market and market intermediaries including merchant bankers during 2000-2001 to 2017-2018. The study finds that maximum growth rate of amount of total issues is felt in year 2003-2004 (471.79 percentages) and second highest growth rate is evident (254.84 percentages) in 2007-2008. The study also finds that the growth rate of intermediaries is lies between +60 to -40 within the study period.   
 
KEYWORDS: Indian Primary Capital Market, Resource Mobilization, Public Issues, Merchant Bankers.

Introduction  

        Every company requires short term as well as long-term finance for continuing its operations effectively.  Short-term finance is raised by the organization through approaching various banks and financial institutions, lenders and also accepting fixed deposits from public and shareholders.  Long-term finance is met through loans from various entities and also by issue of corporate securities.  The initial and subsequent capital issue of securities like equity shares, preference shares, debentures or bonds can be made in the primary market through public issues as well as rights issues.  Initial issue of securities is offered to the public through issue of prospectus and subsequently the public subscribe to them in the primary market directly.  Usually, internal resource generation is made through issue of bonus shares. In case of rights issue, existing shareholders are given pre-emptive rights to purchase additional securities of the company.  In both the cases of right and bonus issues the company has to offer at the first instance to the existing holders of the securities on a pro-rata basis as required under the provision of the Companies Act, 2013.  Bonus shares, basically, are issued by capitalization of reserve balances and undistributed profits of the company.  So, there is no scope of resource mobilization from primary market to the issuer company by issuing bonus shares (Saha, 2015). There are two types of public issues: Initial Public Offer (IPO) and Further Public Offer (FPO).  IPO, basically, is applicable to those companies which are not listed to the stock exchanges. When a fresh issue of securities of an unlisted company or its existing securities are offered for sale for the first time to the public, called IPO. IPOs are subsequently listed to the stock exchanges and traded in accordance with the SEBI guidelines.