💸 India’s Biggest Wealth Destroyers in Dmat Clothing

Published by EduInvesting.in | May 2025

“IPO toh lottery hai”
— Retail Investor, moments before lifelong regret

There was a time — circa 2021-2022 — when IPOs were the new Tinder.
You swiped right on anything with a DRHP.

Zomato? Swipe.
Nykaa? Swipe.
CarTrade? Who cares, swipe!

Then came the heartbreak — and the EMIs.

Let’s revisit 5 IPOs that promised champagne but delivered Chyawanprash — and ask the big question:

Is any of them worth betting on… again?

1. 💄 Nykaa — “Beauty with Blunders”

Backstory:
Nykaa came to Dalal Street like a lipstick influencer on launch day.
The listing doubled. Everyone screamed “D2C is the future.”
Then:

• Lock-in expired
• Promoter offloaded
• Profit vanished in “brand building” expenses

Now?
Margins improved. Revenue stabilized. Retail is back. But stock is still doing skincare slowly.

🧠 EduInvestor Verdict:
✅ Hold for long-term glow-up. D2C is still relevant — if they stop burning cash like a nightclub in Ibiza.

2. 🏦 Fino Payments Bank — India’s Most Forgettable IPO

Backstory:
Most investors applied thinking this was a “digital bank.”
Turns out it’s more like a prepaid mobile recharge counter.

• High distribution costs
• Limited scale
• No clear digital moat

Now?
Minimal revival. Still flatlined. No mass adoption, no buzz, no hope.

🧠 EduInvestor Verdict:
❌ Forget second chance. This one needs reincarnation.

3. 🚘 CarTrade Tech — Platform? Yes. Investment? Maybe not.

Backstory:
India’s “used car marketplace” play.
But unlike your second-hand Alto — this one depreciated faster.

• Asset-light, but also profit-light
• Competes with CARS24, OLX
• Poor visibility on path to scale

Now?
Acquired OLX Auto India biz. Trying hard to look alive.

🧠 EduInvestor Verdict:
⚠️ Watch only if you’re bullish on used car market. For now, too many potholes.

4. 🏦 LIC — The Elephant That Sat on Retail Hopes

Backstory:
Biggest IPO ever.
Biggest meh ever.

LIC got listed and promptly gave everyone a reality check:

• 100-page policy document level complexity
• Declining market share in new policies
• Still operating like it’s 1998

Now?
Surprisingly, it’s showing signs of revival.
New premium income rising. Stock stabilizing.

🧠 EduInvestor Verdict:
✅ Mild Buy for long term. It’s boring, but dividend-y. Like that uncle who always brings sweets on Diwali.

5. 🏧 AGS Transact — ATM Player in a UPI World

Backstory:
They provide ATM infra.
India provides UPI.

Do the math.

Stock crashed harder than your card at a “cash-only” dhaba.

Now?
Still trying to pivot to cashless retail tech. But no investor is buying it — metaphorically or literally.

🧠 EduInvestor Verdict:
❌ Better to invest in your local ATM machine. At least that gives money out.

📊 Table of IPO Regret & (Possible) Redemption

🎯 EduInvestor’s Take

These IPOs sold themselves like dream homes…
…and turned out to be 1BHKs with leaking ceilings.

But not all hope is lost.
Some — like Nykaa and LIC — are trying to fix their floors. Others… need a bulldozer.

🔁 Should You Re-Enter?

🧨 Bonus Meme:

Retail Investor during IPO: “This is going to change my life.”
Retail Investor after listing: “How do I change my bank account?”