IPO rush in December hits 17-year high with nearly Rs 25,000 cr fundraising

So far, 92 IPOs have collectively raised over Rs 1.6 lakh crore, setting a new historic high record.

December is poised to witness the highest number of initial public offerings (IPOs) in nearly 17 years with as many as 15 companies having launched their public issues this month, raising around Rs 24,950 crore.

This is the highest since February 2007, which saw 18 offerings. Further, the cumulative fund raising of Rs 24,950 crore has made the current month the third-best in 2024, after October and November that saw six and eight IPOs raising Rs 38,689 crore and Rs 31,145 crore, respectively. Further, two more IPOs -- Avanse Financial Services and Indo Farm Equipment -- are expected later this month.

Meanwhile, the month was witness to six big IPOs with the size exceeding Rs 1,000 crore each, while the remaining were smaller offerings, ranging between Rs 180 crore and Rs 570 crore. The largest IPO was of Vishal Mega Mart, raising over Rs 8,000 crore. It was followed by International Gemmological Institute India and Sai Life Science, which raised Rs 4,225 crore and Rs 3,042 crore, respectively.

Other notable IPOs include Inventurus Knowledge Solutions (Rs 2,498 crore), Ventive Hospitality (Rs 1,600 crore), and Carraro India (Rs 1,250 crore).

Incidentally, the year 2024 has been a record-breaking year for IPOs in India, driven by robust liquidity and surging domestic markets -- in stark contrast to the global market volatility. So far, 92 IPOs have collectively raised over Rs 1.6 lakh crore, setting a new historic high record.

Experts suggest the K-shaped recovery observed post-pandemic has enabled several companies to experience unprecedented growth. This growth has been driven by a significant positive shift in the demand environment, supported by a structurally favourable macroeconomic backdrop. With increasing demand for private capital expenditure and improved accessibility of capital markets as a funding source, more companies are now turning to IPOs to raise capital, say experts.

Nirav Karkera. Head of research, Fisdom said the rapid rise in capital market participation across investor segments, a structural increase in retail involvement, and a strong outlook for Indian equities have contributed to successful listings for many firms. This success, in turn, is fostering confidence among the next wave of companies aspiring to go public.