Indian equity markets witnessed a record-breaking year of capital mobilisation between last Diwali and this Diwali, with fundraising through mainboard and SME initial public offerings (IPOs) and qualified institutional placements (QIPs) hitting an all-time high in Samvat 2081. The surge came despite muted secondary market activity and subdued listing gains, underscoring strong investor appetite across categories.
During Samvat 2081, as many as 433 Indian firms collectively raised over Rs 2.9 lakh crore through mainboard and SME IPOs and QIPs, compared to Rs 2.53 lakh crore mobilised by 429 firms in Samvat 2080. In Samvat 2079, 251 firms had raised around Rs 79,900 crore, while in Samvat 2078, 165 firms had garnered Rs 1.07 lakh crore.
Of the total in Samvat 2081, 111 companies mopped up nearly Rs 1.8 lakh crore via mainboard IPOs, while 275 SMEs raised Rs 11,860 crore. Meanwhile, 47 firms tapped the QIP route to mobilise Rs 98,993 crore.
Analysts attributed the record fundraising to a favourable confluence of factors—buoyant market sentiment, strong economic growth, and rising investor confidence. They also noted that the primary market continued to attract robust participation from foreign portfolio investors, high-net-worth individuals, retail investors, and mutual funds, even as secondary markets remained lacklustre.
Interestingly, despite the fundraising boom, listing performance was relatively muted in 2025. Of the 85 mainboard IPOs listed so far this year, 29 debuted below issue price, while 27 delivered modest listing gains between 1–10 percent. Twelve stocks posted gains of 11–20 percent, 13 delivered between 25–50 percent, and only three managed over 50 percent gains on debut.
Experts said valuation pressures in the broader market and fading subscription hype have weighed on post-listing performance.
In comparison, 93 mainboard IPOs listed in 2024 saw far stronger debuts—five doubled investors’ money with over 100 percent listing gains, 12 rose between 50–99 percent, 25 gained 25–50 percent, 30 advanced 1–25 percent, while 19 listed in the red.
The SME segment showed similar trends. In 2025 so far, 218 SME IPOs hit the market; 76 listed below issue price, 64 posted 1–10 percent gains, 21 gained 10–20 percent, 30 advanced 20–50 percent, and 27 delivered 50–100 percent gains.
In 2024, 247 SMEs debuted, with only 24 listings in the red. Over 100 SME IPOs that year had delivered between 50–400 percent listing gains, reflecting the frenzy in smaller issues.
While the pipeline for IPOs and QIPs remains strong, analysts caution that the euphoria may face headwinds if markets correct or global trade frictions rise.
Experts advise investors to temper expectations, focus on fundamentals, and assess promoter quality and corporate governance before subscribing. “IPOs don’t guarantee listing gains,” one analyst said. “Discipline and due diligence matter more than short-term excitement.”
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