 "India's IPO fundraising up 12x, 373 issues raise ₹1.95 trillion in 2025")
Calendar year 2025 saw 373 IPOs, comprising 103 mainboard and 270 SME issues, together mobilising ₹1.95 trillion. According to data analysed by Pantomath, India emerged as one of the most active IPO markets globally in 2025, and it expects close to Rs 4 Lakh crore of capital formation via primary markets in 2026.
The breadth of issuance underscores how capital formation has expanded beyond a handful of large names to include mid-sized and emerging companies tapping markets at different stages of growth.
One of the most striking data points from 2025 is the balance between public and private capital in India. Primary market fund-raising in India is equivalent to nearly 49% of private capital raised, compared with just 9% in the US and 13% in Europe.
This near parity reflects three things: deep domestic investor participation, regulatory comfort with public issuance, and issuer confidence that IPOs can reliably fund expansion. By comparison, China’s public-market dominance (nearly 18x private capital) and ASEAN’s heavier skew towards private markets point to very different capital-formation models.
In India, IPOs are no longer end-of-the-road liquidity events. They are working capital tools. Global IPO market share by region (CY 2025)
*Others include Africa, Canada, Latin America, and Russia. Sources:EY Global IPO Trends Q3 2025. Data for Q1-Q3 2025
Deal sizes signal a post-2020 step change
The structural shift becomes clearer when viewed through deal sizes. Average mainboard IPO size rose from around ₹1,100 crore in the 2015–2019 period to about ₹1,570 crore in 2020–2025 YTD. SME IPO sizes more than doubled—from roughly ₹11 crore to ₹24 crore.
This signals stronger investor appetite and higher issuer ambition. Companies are not just listing more frequently; they are raising more per issue, indicating confidence in absorption capacity.
A decade-long upcycle, not a one-off surge
IPO growth in India has been compounding quietly for over a decade. Mainboard IPO fund-raising has grown at a 29% CAGR over the last ten years, while SME IPO fund-raising expanded even faster at 46% CAGR.
Post-2020, the acceleration is unmistakable. The number of mainboard issues rose 2–3x, while SME listings surged as smaller companies increasingly accessed public markets earlier in their lifecycle. Amount Raised in IPOs (Rs Crore) (Mainboard IPOs)
Over the past ten years, India’s IPO market has expanded sharply, with mainboard IPO fund-raising growing at a 29% CAGR, anchoring overall capital mobilisation.
Growth is broad-based—not dependent on mega IPOs
Contrary to perception, India’s IPO boom is not being driven by a handful of mega listings. Issues above ₹5,000 crore accounted for only 8–14% of total IPO volumes between 2020 and 2025. Number of issues and Average Size over a decade
Source: Pantomath Group analysis | Data as on: December, 2025
Instead, the fastest growth came from mid-sized issuances. The ₹100–500 crore segment grew at a 58% CAGR, while the ₹1,000–5,000 crore bracket expanded even faster at 68% CAGR—evidence that capital formation is spreading across size buckets rather than concentrating at the top.
Financial services deepen market credibility
Financial services listings played a key role in reinforcing confidence. HDB Financial Services’ ₹12,500 crore IPO in June 2025 became the largest bank-led IPO in India, highlighting how mature NBFC platforms are increasingly turning to public markets for scale and monetisation.
This trend continued with Tata Capital, whose ₹15,510 crore IPO ranked as the fourth-largest in Indian history, showcasing the market’s ability to absorb large, governance-backed issuances.
IPOs reclaim centre stage for private capital exits
Exit activity remained resilient despite selective risk appetite. In November 2025 alone, 23 exits worth $3.2 billion were recorded. Notably, IPOs accounted for $1.5 billion across seven exits, outperforming secondary sales and strategic exits.
Public markets, once seen as volatile and timing-sensitive, have re-emerged as the preferred exit route—supported by better liquidity, improved pricing discipline and demand for earnings-backed assets.
Fresh capital, not just promoter monetisation
Another underappreciated shift is the composition of IPO proceeds. Since 2021, fresh issue components have consistently accounted for 35–40% of total IPO funds raised, underscoring the role of IPOs in financing expansion rather than merely providing liquidity to existing shareholders.
This reinforces the idea that Indian capital markets are now funding growth in real time, not just recycling ownership.
A competitive, balanced investment banking ecosystem
League tables in 2025 reflected a competitive environment, with leadership shared across banks and diversified financial services firms. Execution capability and consistency—not legacy dominance—drove outcomes.
A standout example was the ₹860 crore IPO of Quality Power Electrical Equipments, the largest sole-banker IPO in India, managed by Pantomath Capital—a signal of widening execution capability beyond traditional bulge-bracket players.
Key points from the report:
India’s IPO market is in a decade-long structural upcycle, with mainboard IPO fund-raising growing at a 29% CAGR and SME IPO fund-raising expanding faster at 46% CAGR over the past ten years.
SME listings have become a core pillar of capital formation, reflecting deeper investor participation and a more inclusive primary market ecosystem.
Bank-promoted financial listings strengthened market credibility, led by HDB Financial Services’ ₹12,500 crore IPO, the largest bank-led IPO in India to date.
IPOs re-emerged as the preferred exit route for private capital, with $1.5 billion raised across seven IPO exits, outperforming secondary and strategic sales.
Exit activity remained resilient despite selective risk appetite, with 23 exits worth $3.2 billion recorded in November 2025, only marginally lower than the previous year.
IPO activity stayed broad-based across size segments, with the ₹100–500 crore segment growing at a 58% CAGR and the ₹1,000–5,000 crore segment expanding at a faster 68% CAGR between 2020 and 2025.
Mega IPOs remained selective rather than dominant, with issues above ₹5,000 crore accounting for only 8–14% of total IPO volumes, reducing reliance on episodic large listings.
Large, institution-led listings found strong market absorption, highlighted by Tata Capital’s ₹15,510 crore IPO, the fourth-largest in Indian history.
Capital raised through IPOs increasingly supported growth, with fresh issue components forming 35–40% of proceeds post-2021, signalling a shift away from pure monetisation.
League tables reflected a competitive and balanced ecosystem, where execution capability and consistency—not legacy dominance—determined leadership, exemplified by Quality Power Electrical Equipments’ ₹860 crore sole-banker IPO.
Between 2020 and 2025, IPO activity expanded across all issue-size buckets. The ₹100–500 crore segment witnessed strong volume growth (58% CAGR) in the past 5 years, while the ₹1,000–5,000 crore segment scaled the fastest (68% CAGR).
Mega issues (₹5,000 crore+) remained episodic, typically accounting for 8–14% of total issues.
Mainboard IPO sizes increased from ₹1,119 crore on an average (2015–2019) to ₹1,579 crore on an average (2020–2025 YTD), while SME IPO sizes more than doubled from ₹11 crore to ₹24 crore.