IPO Market in Samvat 2081: Record fund raise, but mixed gains for investors

The initial public offer (IPO) market in Samvat 2081 saw a remarkable surge in fund raising activity, with 332 companies going public across the mainboard and SME (small and medium enterprises) segments, raising a cumulative ₹1.55 trillion.

 

As of October 9, 2025, 97 of these 332 IPOs belonged to the mainboard segment, raising a total of ₹1.41 trillion, while the remaining 235 companies were SMEs.

 

Individually, several high-profile companies tapped the public markets during the outgoing year, including HDB Financial Services, which raised ₹12,500 crore, LG Electronics India (₹11,607 crore), Tata Capital (₹15,511 crore),  Swiggy (₹11,327.43 crore), NTPC Green Energy (₹10,000 crore), Vishal Mega Mart (₹8,000 crore), and National Securities Depository which garnered ₹4,010.95 crore through its IPO.

 

 

G Chokkalingam, founder and head of research at Equinomics Research, said that boom in secondary market always leads to boom in primary market. Last September 2024, secondary market hit a record lifetime high with a market cap of around ₹4.85 trillion. 

 

"Incremental wealth creation for a year, ending on Sept 2024, was phenomenal and unprecedented. This led to a massive boom in primary markets," he added.

 

That said, while Samvat 2081 was a record year in terms of the number of IPOs, many have failed to perform well after listing.  ALSO READ | ₹1.75 trillion raised in Samvat 2081: Meet the top wealth-multiplier IPOs

Mixed performance despite strong fundraising

Data shows that over half of the mainboard IPOs (49 out of 97) are currently trading below their listing price, reflecting weak post-listing performance and subdued investor sentiment. These include the likes of BMW Ventures, Gem Aromatics, VMS TMT, Laxmi Dental, and DAM Capital Advisors.

 

However, when compared with their IPO issue price, 67 out of 97 companies are trading above their offer price, underscoring resilience in certain pockets of the market.

 

The SME segment has also shown similar performance, with 105 out of 235 IPOs trading above their listing price, and 127 still respecting their offer price, indicating better investor response in this segment.

 

"Valuations have become quite stretched, with both issuers and merchant bankers appearing increasingly ambitious, leaving little upside for investors. Liquidity has helped most IPOs sail through, but sustained performance remains a concern. Investor participation depends heavily on consistent returns, and if IPOs fail to deliver profits over time, public interest will wane," said Ambareesh Baliga, an independent market analyst.

 

Chokkalingam noted that most IPOs were fairly priced at the time of listing, which left limited room for investors to book profits.

 

"Additionally, liquidity constraints have played a major role in the subdued performance as promoters and financial institutions have been offloading shares," he said.

 

Chokkalingam added that the market has absorbed nearly ₹1.4 trillion through IPOs this calendar year, leading to a significant expansion in the number of listed companies, especially within the SME segment.

 

"This kind of expansion in the number of listed companies has not been seen before, which means more companies are competing for a finite pool of liquidity, which has further pressured stock prices," he said.

Samvat 2082 IPO outlook

As the market steps into Samvat 2082, the outlook for the IPO market remains active but cautious. According to a report by Kotak Institutional Equities, more than 200 companies are expected to raise around $35 billion, or approximately ₹2.9 trillion, from the primary market over the next one year.

 

A majority of these offerings, however, are expected to be smaller in size. For instance, IPOs with issue sizes below ₹1,000 crore make up 67 per cent of the expected issue count and 38 per cent of the overall issue value. Meanwhile, IPOs exceeding ₹5,000 crore comprise only 4.3 per cent of the total count but 24 per cent of the value.

 

Some of the companies looking to bring IPOs in Samvat 2082 include Wakefit Innovations, Lenskart Solutions, and Cleanmax Enviro Energy Solutions. 

 

Baliga pointed out that as the primary market prepares for another busy year, the mixed performance in Samvat 2081 underscores the need for more realistic valuations and sustainable business models to maintain investor interest.

 

Meanwhile, Chokkalingam added that until valuations moderate and liquidity improves, this challenging environment is likely to persist.