New Delhi: India’s initial public offerings (IPOs) have raised an all-time high of ₹1.77 lakh crore ($19.6 billion) so far in 2025, surpassing the total funds raised in 2024, as companies rush to capitalise on strong investor interest.
With five more IPOs set to close by December 16 — including ICICI Prudential Asset Management Co.’s $1.2-billion issue — the year’s total proceeds are expected to climb significantly higher.
According to Bloomberg data, Indian IPOs raised ₹1.73 lakh crore in 2024. The current surge highlights the maturity of India’s capital markets, supported by an expanding retail investor base and consistent institutional participation, even as secondary market demand has shown signs of cooling.
Analysts note that companies are taking advantage of favourable market conditions to secure funding ahead of potential global tightening. India’s streamlined listing process and a wave of large public offerings have also contributed to the boom.
Foreign institutional investors remain active in IPOs despite heavy selling in the secondary market. FII participation in the primary market has enabled companies across sectors and market sizes to raise capital at premium valuations.
However, nearly half of the 300-plus companies that listed this year are now trading below their issue prices.
On Thursday, the Securities and Exchange Board of India (SEBI) proposed major reforms to resolve long-standing issues related to pre-IPO pledged shares and to simplify public issue disclosures. SEBI recommended allowing depositories to mark pledged shares as “non-transferable” during the lock-in period based on issuer instructions.
India enters 2026 with strong market confidence, driven by recent surges across financial indicators and a resilient macroeconomic environment. The recovery has been supported by domestic triggers such as GST 2.0 rate rationalisation, which boosted discretionary consumption, and rising manufacturing activity, reflected in a two-month high PMI of 58.4.
With inputs from IANS