Is the IPO Market in India Ready for a Comeback?
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Synopsis
The IPO market in India is gearing up for a significant revival with anticipated public issues worth Rs 1.4 lakh crore. This article explores the current landscape, recent trends, and the potential future of IPOs amid market fluctuations.
Key Takeaways
- Revival of the IPO market in India is underway.
- Public issues worth Rs 1.4 lakh crore are anticipated.
- 72 companies have received SEBI approval for IPOs.
- Market volatility has impacted recent IPO performances.
- 90 companies have filed for public issues in 2023.
Mumbai, June 5 (NationPress) After a prolonged period of low activity, the IPO market in India is poised for a turnaround, with public issues anticipated to reach around Rs 1.4 lakh crore in the upcoming months.
As per the data from Prime Database, the Securities and Exchange Board of India (SEBI) has given the green light for the initial public offering (IPO) of 72 firms totaling Rs 1.4 lakh crore.
In addition, approximately 68 other firms are on standby awaiting SEBI's nod to raise nearly Rs 95,000 crore through public issues.
When these figures are aggregated, a total of 140 companies could potentially raise up to Rs 2.35 lakh crore from the public market.
Recently, the IPO market has faced challenges due to market fluctuations and unsatisfactory listings of some major public issues.
For instance, the debut of EV manufacturer Ather Energy recorded a mere 2.18 percent increase, while both Aegis Vopak and Schloss Bangalore (associated with The Leela brand) saw declines of 6 percent. Meanwhile, the listing of Skoda Tubes remained unchanged.
According to SEBI's data, during the initial five months of this year (January-May), around 90 companies have filed draft proposals for a public issue.
The lackluster performance of the IPO market can be attributed to stock market volatility. The Nifty index has remained relatively stable over the last six months, yielding a return of approximately 1 percent over the past month.
Data from SEBI indicates that January recorded the highest activity, with 28 companies submitting draft papers, followed by 15 in February, 11 in March, 24 in April, and 12 thus far in May.
The increase in Draft Red Herring Prospectus (DRHP) filings occurs at a time when the actual number of IPOs entering the market has been significantly lower compared to the same timeframe last year.
The Indian equity markets have endured substantial fluctuations in 2025, influenced by geopolitical tensions and tariff-related measures.
Point of View
I emphasize that the resurgence of the IPO market in India showcases resilience amid volatility. While challenges persist, the influx of new offerings signals optimism for investors and companies alike, reinforcing the importance of staying informed in this dynamic environment.
NationPress
15/07/2025
Frequently Asked Questions
What is the expected value of upcoming IPOs in India?
The upcoming IPOs in India are expected to be worth around Rs 1.4 lakh crore.
How many companies have received SEBI approval for IPOs?
72 companies have received SEBI approval for IPOs, totaling Rs 1.4 lakh crore.
What factors have contributed to the slowdown in the IPO market?
Market volatility and disappointing listings of major public issues have contributed to the slowdown.
How did the Nifty index perform recently?
The Nifty index has remained relatively stable, yielding about 1 percent return over the past month.
How many companies filed for public issues in the first five months of 2023?
Approximately 90 companies filed for public issues in the first five months of 2023.
