India’s IPO Market to Soar in 2025, Building on Historic Growth in 2024
India’s IPO market has made remarkable strides, with a historic surge in 2024, as proceeds more than doubled from USD 5.5 billion in 2023 to USD 11.2 billion, according to a report by GlobalData. This growth marks a defining moment for India’s financial ecosystem, showcasing not only a boost in issuer confidence but also a growing appetite from investors.
Murthy Grandhi, a Company Profiles Analyst at GlobalData, highlighted that the outlook for 2025 is even more promising. He noted that the IPO pipeline for 2025 is filled with potential, driven by an increase in retail participation, substantial domestic inflows, and the continued presence of foreign portfolio investors (FPIs), despite being net sellers in the secondary market. Grandhi described 2024 as a “blockbuster year” for India’s IPO market, driven by these factors.
The surge in IPO activities in 2024 reflects broader economic dynamics, such as the government’s emphasis on infrastructure and core sector development, alongside increased private capital expenditure. These elements have been crucial in enhancing the market’s dynamism, helping India establish itself as a global hub for capital fundraising.
Key IPOs in India for 2024 included Hyundai Motor’s USD 3.3 billion offering, Swiggy’s USD 1.3 billion issue, NTPC Green Energy’s USD 1.2 billion listing, Vishal Mega Mart’s USD 0.9 billion IPO, and Bajaj Housing Finance’s USD 0.8 billion issue. These high-profile listings further strengthened the growing confidence in India’s capital markets.
The Asia-Pacific (APAC) region also saw impressive growth in IPO activity. Japan reported a remarkable 275.1% growth, with 69 IPOs raising USD 12.6 billion. Malaysia followed with a 145.9% increase, as 36 IPOs raised USD 1.1 billion. However, China experienced a significant decline, with IPOs dropping by 51.3% due to tighter regulations. The country had 64 IPOs, raising just over USD 5.2 billion.
In total, the APAC region saw 604 IPOs, generating USD 33.9 billion, reflecting a 21.5% increase in proceeds compared to 2023. India emerged as the top performer in the region, with over 200 companies going public. The technology and communications sector led the APAC IPO market with 118 transactions worth USD 3.8 billion, followed by the financial services sector, which contributed 60 deals totaling USD 2.6 billion.
Globally, IPO activity is also expected to exceed 2024’s numbers, with a strong pipeline already in place. However, the performance of the global IPO market in 2025 will depend on various factors, including decisions by the U.S. Federal Reserve and the performance of emerging markets.
In summary, India’s IPO market is poised for further growth in 2025, driven by increased investor interest and a favorable economic environment, placing the country at the forefront of the global capital markets.
