Fundraising activity hits 21-month low in January

Share of RIIs rise, QIBs share moderates in mainboard listings.

• Market fundraising in Jan 2026 hit a 21-month low.
• Equity issuances fell 45%, debt issuances dropped 53% in Jan.
• Retail investor share in IPOs rose to 24.6% in FY26 so far.

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Fundraising activity in India's primary market has moderated sharply in January 2026, with the total capital mobilisation during the month falling to Rs 1.1 lakh crore, which is the lowest level recorded in the past 21 months.

According to the latest edition of NSE Pulse, equity issuances have dropped 45% month-on-month while debt issuances have seen a decline of 53% over the same period, which points to a broad-based slowdown driven by softer market conditions.

IPO activity was also muted. Eight companies listed during the month, including three mainboard offerings that collectively raised Rs 4,765 crore, which is down 78 percent on a sequential basis, along with five listings on the Emerge (SME) platform that got around Rs 258 crore, down 60% over the same period. Investors' response to the issues was mixed: four stocks debuted with listing gains, while the remaining four slipped below their issue price.

Stronger picture in FY26

However, despite the monthly pullback, the broader trajectory for FY26 remains robust, noted the report. Overall, fund mobilisation has reached Rs 1.66 lakh crore in the ten months of the fiscal year so far, which has already surpassed the total amount raised during FY25.

A record 96 companies were listed on the mainboard from April to January, which is the highest on an annual basis. Since April 2024, the market has seen seven IPOs exceeding Rs 10,000 crore each, including four in the current fiscal year alone, compared to three in FY25. NSE Pulse said this highlights "the depth of domestic liquidity and strong issuer confidence in the capacity of Indian capital markets to absorb large-sized offerings."

In terms of composition, debt instruments accounted for 73% of the total funds which were mobilised during the fiscal, equity for 25.7%, and business trusts for the remaining 1.3%. Within equity fundraising, 40% was raised through IPOs, while the remaining 60% of capital came through further issuances by already-listed entities.

Investor participation patterns have also changed during the fiscal. The share of Retail Individual Investors (RIIs) in mainboard IPO proceeds climbed to 24.6% through January 2026, up from 19.5% in FY25. Correspondingly, the share of Qualified Institutional Buyers (QIBs) eased to 60.5% from 67.2% in the previous year, suggesting growing retail engagement with the primary market. In the SME segment, RIIs accounted for 37.5% of proceeds while QIBs held a 38.5% share.

The January dip, while notable, appears to be a pause rather than a reversal, said NSE Pulse, with the full-year picture continuing to reflect a primary market that has broadened both in scale and in the diversity of its investor base.

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