India's IPO Market Sees Resurgence, Nearly $20.5 Billion Raised in 2025

India’s IPO market has rebounded impressively, doubling its fundraising to $20.5 billion between October 2024 and September 2025, despite broader market declines. Key drivers include domestic investor interest, high-value IPOs like HDB Financial Services and Hexaware, and sectoral diversity. Over 150 IPOs worth $36.1 billion are in the pipeline, spanning tech, NBFCs, and renewable energy. This momentum signals continued opportunities in the primary market amid secondary market challenges.

India’s IPO market has staged a dramatic recovery over the past year, nearly doubling its fundraising totals compared to the previous year, even as the overall stock market faced headwinds. Between October 2024 and September 2025, a total of 86 IPOs collectively raised approximately $20.5 billion, significantly higher than the $10.8 billion raised by 88 IPOs during the same period in the prior year, according to a report by The Economic Times.

This surge in IPO activity coincides with a downturn in India’s broader equity markets. The BSE Sensex experienced a decline of 3.5%, dropping from 84,266 to 80,426 points, while the Nifty fell by 4.4%, slipping to 24,655 from 25,797 over the same period. Despite this challenging backdrop, factors such as high-value offerings, robust domestic investor interest, and diversification across sectors have driven the IPO boom.

Domestic Investors Take Center Stage

V. Jayasankar, Managing Director at Kotak Investment Banking, highlighted the growing role of domestic investors, stating, “The surge in liquidity from mutual funds, insurers, and retail investors has reduced reliance on foreign capital inflows.” He also pointed out that the October–December 2024 quarter was particularly strong for IPO activity, and a similar trend is expected for the current year.

The first quarter of 2025 alone saw 30 IPOs raising $11.4 billion. Though the market experienced a lull in the first half of 2025, activity picked up between July and September, when 37 IPOs raised $5.4 billion. In total, the January–September 2025 period accounted for 56 IPOs raising $9 billion, compared to $7.6 billion in the same period of 2024.

High-Value IPOs Lead the Charge

Several major IPOs have shaped this year’s market. HDB Financial Services raised $1.5 billion, Hexaware Technologies brought in $1.05 billion, and NSDL secured $480 million. According to Siddarth Bhamre, Head of Institutional Research at Asit C Mehta, the shift toward IPOs reflects challenges in generating returns in secondary markets. “The IPO market thrives on bullish sentiment and liquidity, and this momentum is likely to persist,” Bhamre said.

In 2024, the largest IPO was Hyundai Motor India’s $3.3 billion offering, followed by Swiggy at $1.3 billion and NTPC Green Energy at $1.2 billion. Together, the top five IPOs accounted for 70% of the year’s total funds raised.

Strong Pipeline of IPOs on the Horizon

Looking ahead, the IPO pipeline remains robust, with a wide array of sectors represented. Jayasankar noted that upcoming offerings span digital technology, consumer and retail, non-banking financial companies (NBFCs), automobiles, renewable energy, and technology, media, and telecommunications (TMT).

Pranav Haldea, Managing Director at Prime Database, revealed that over 150 IPOs are in the pipeline, either approved or awaiting regulatory clearance from SEBI. These upcoming deals have a combined issue size of nearly $36.1 billion. Some of the anticipated names include Tata Capital ($2.05 billion), LG Electronics ($1.2 billion), along with listings by WeWork, Hero Fincorp, Hero Motors, and BoAt.

While India’s broader stock market has struggled, the resilience and growth of its IPO market outline a compelling narrative of investor confidence and sectoral diversification. With a strong lineup of offerings poised to hit the market, the IPO boom shows no signs of slowing down, promising exciting opportunities for investors in the months to come.