Asian equity markets are lower today as Japanese and Hong Kong shares fall. The Nikkei 225 is off 0.10%, while the Hang Seng is down 0.23%. The Shanghai Composite is trading down by 0.22%. US markets bounced back to record highs on a rebound in technology stocks.

Meanwhile, share markets in India have opened the day on a flat note with positive bias. The BSE Sensex is trading higher by 27 points while the NSE Nifty is trading higher by 14 points. The BSE Mid Cap Index and BSE Small Capindex both opened the up by 0.1%.

Barring metal stocks, FMCG stocks and consumer durables stocks, all sectoral indices have opened the day in green with realty stocks and healthcare stocks leading the pack of gainers. The rupee is trading at 64.45 to the US$.

Dr Reddy's Laboratories share price opened over 1.5% after it was reported that the company has received Establishment Inspection Report (EIR) from the USFDA for its active pharmaceutical plant (API) at Miryalaguda indicating the successful closure of the agency's audit.

Information technology stocks opened the day on a mixed note with Moser Baer India and Wipro (WIT) leading the gains. As per an article in a leading financial daily, Wipro has invested US$ 809,690 (about Rs 51.2 million) in management and IT consulting firm Drivestream.

Drivestream was established in 2001 and had revenue of about US$20.5 million at the end of 2016.

The investment is part of Wipro's strategic drive to actively participate in the external innovation eco-system, for which the company has set up Wipro Ventures, a US$ 100 Million fund focused on investing in disruptive start-ups.

Reportedly, the cash consideration will see Wipro acquiring 19,679 preferred stock and 27,865 common stock. Wipro now holds 26.1% share in Drivestream (on a fully diluted basis).

Meanwhile, Wipro announced the issue of bonus shares to shareholders (including to ADS holders) on April 25. The ratio is one equity share for every one equity share held. It has fixed record date as 14 June for bonus issue.

Consequently, Wipro share price halved to Rs 263.15 from previous day's closing value of Rs 526.

Whenever a listed company announces a bonus, one can see a surge in the company's stock price. However, Ankit Shah points out in one of the editions of The 5 Minute WrapUp, do bonus issues really make you wealthier? Here's an excerpt of what he wrote:

• "What happens through this process is that a certain value is transferred from the reserves to the equity capital of the company. The same reserves which are already owned by shareholders! Ultimately, there is higher liquidity. But, no change in the proportionate stake in the company."

So, bonuses and stock splits may lift the stock price in the short term; however, there is no addition to the stock's intrinsic value which is based solely on fundamentals.

Moving on to the news from IPO space. The latest entrant to the IPO (initial public offering) market, Tejas Networks, is set to hit the Street today.

Ahead of its IPO, Tejas Networks on Tuesday raised nearly Rs 3.50 billion through the issuance of shares to 17 anchor investors.

The maker of optical and data networking products' IPO will close on 16 June 2017. The price band has been set between Rs 250 and Rs 257 per share and plans to issue fresh equity shares worth Rs 4.50 billion and an offer for sale of up to 12,711,605 equity shares.

Bids can be made for a minimum of 55 equity shares and in multiples of 55 equity shares thereafter.

Interestingly, in FY17, the amount of money raised through 25 IPOs nearly doubled to Rs 282 billion. The IPOs were well received, with a majority (15 of them) getting oversubscribed by over 10 times.

After a bumper year in FY17, abundant liquidity has fueled expectations that fundraising through IPOs would remain robust in FY18. This may even surpass the amount raised in FY17.

IPO Market Buzzing

In fact, as per the chief of Bombay Stock Exchange, 1,000-odd companies are planning to get listed once GST kicks in.