The Indian IPO market witnessed a spectacular year in 2024, with companies collectively raising a record ₹1.6 lakh crore. This extraordinary growth has been attributed to robust economic recovery, favorable market conditions, and regulatory improvements. Analysts believe the momentum is set to continue into 2025, potentially breaking new fundraising records.
A Year of IPO Records
2024 turned out to be a landmark year for IPOs in India, showcasing investor confidence and corporate optimism. The average IPO size doubled from ₹867 crore in 2023 to ₹1,700 crore in 2024. This year saw the historic ₹27,870 crore IPO of Hyundai Motor India, marking the largest IPO in the country’s history.
Other significant IPOs of the year included:
- Swiggy: ₹11,327 crore
- NTPC Green Energy: ₹10,000 crore
- Bajaj Housing Finance: ₹6,560 crore
- Ola Electric Mobility: ₹6,145 crore
On the smaller end, Vibhor Steel Tubes launched the smallest IPO at ₹72 crore.
December: The Hottest IPO Month
December alone saw a surge of 15 IPOs, cementing the year’s status as one of the busiest in history. According to V. Prashant Rao, Director and Head of ECM at Anand Rathi Advisors, factors like growing retail investor participation, active foreign portfolio investor (FPI) involvement, private capital expenditure growth, and government focus on infrastructure collectively fueled IPO activity.
What to Expect in 2025
Market analysts are optimistic about the IPO pipeline for 2025. Munish Agarwal, Managing Director of Equirus, noted that 75 IPOs are currently in various stages of approval. He estimates that these offerings could collectively raise ₹2.5 lakh crore, eclipsing this year’s record.
Some of the major IPOs lined up for 2025 include:
- HDB Financial Services: ₹12,500 crore
- LG Electronics India: ₹15,000 crore
- Hexaware Technologies: ₹9,950 crore
Key Statistics and Trends
- 2024 Highlights: 90 IPOs raised ₹1.6 lakh crore, compared to 57 IPOs raising ₹49,436 crore in 2023.
- SME IPOs: Small and medium enterprises raised ₹8,700 crore across 238 IPOs, nearly doubling the ₹4,686 crore raised in 2023.
- Historical Context: The IPO market’s previous high was in 2021, when 63 IPOs raised ₹1.2 lakh crore, marking a two-decade peak.
A Thriving Ecosystem
The rapid growth in IPO activity reflects not only corporate confidence but also the trust of retail and institutional investors. Many investors are looking beyond listing day gains, placing faith in the long-term potential of these companies.
With 2024 setting new benchmarks, the IPO market is poised to scale even greater heights in 2025, presenting exciting opportunities for both companies and investors alike.
