The Indian IPO market is poised for a historic year in 2025, with analysts projecting fundraising to surpass ₹2 lakh crore by raising funds through the initial public offering route. This consistent surge in the present year follows a huge record ₹1.3 lakh crore number raised in 2024 and positions India as a global IPO leader.
India’s Prominence in the Global IPO Landscape
India has emerged as a driving growth and riding rise in the global IPO marketplace. In the first quarter of 2025, India accounted for 22% of worldwide IPO activity performance, but in spite of a certain 20% dip as compared to the previous year. During this quarter, Indian companies were recently in news that raised $2.8 billion by 62 IPOs, in terms of IPO proceeds. By the end of 2024, India had risen to the primary and number one position globally in IPO volume, listing nearly twice as many IPOs as the U.S. and two-and-a-half times in number in Europe. The total capital raised in India through IPOs in 2024 reached $19.9 billion from 327 organizations, marking a giant increase year-on-year.
India’s IPO Surge: A ₹18,000 Crore Windfall for New-Age Companies
India’s startup ecosystem is at present experiencing a top notch significant rush like a windfall in the direction of public markets with an opening of dozen new-age companies together aiming to raise and elevate growth over around ₹18,000 crore that involves(more than $2 billion) through fresh share issuances through the path of Initial Public Offerings (IPOs).
This sizable move signals a developing confidence in public markets as a likely viable fundraising avenue, even for mid-to-small sized startups, and marks a notable shift towards the path of local stock exchanges for listings.
Several unique and prominent new-age corporations are leading this charge, with huge fundraising targets.
Vikram Solar: The latest and contemporary SEBI decision for the Vikram Solar IPO marks a very monumental sort of milestone at the business enterprise’s growth trajectory. The IPO is structured as a book-constructed provider, comprising a combination of fresh capital issue of ₹1,500 crore and an offer for sale (OFS) of as much as 17.45 million shares in order to make the stance and by way of promoters and promoter organization shareholders. Each share includes a face value of ₹10, and even as the very last price band and launch dates are to be introduced, the offering is predicted to draw a huge range of investors eager to take part in India’s clean energy transition.
According to the vikram solar DRHP (Draft Red Herring Prospectus) effective plans need to flow smoothly for the successful procedure, the proceeds from the fresh issuance planned to be used efficiently and can be strategically deployed: ₹793.36 crore will allocated for contemporary 3,000 MW solar cell and module manufacturing facility major plant in Tamil Nadu throughout the entirely-owned subsidiary known as VSL Green Power Pvt Ltd.
Hero Fincorp: In August 2024, Hero FinCorp filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI), which aims to raise ₹3,668 crore via an IPO. The issue offering includes a fresh issue of shares well worth ₹2,100 crore and some other portion provide as offer for sale (OFS) amounting to ₹1,568 crore via current shareholders, including AHVF II Holdings Singapore II Pte.Ltd, and Link Investment Trust, and Otter Ltd.
Lenskart: Lenskart, India’s leading eyewear store in information making buzz and headlines with greater words and making highlights for its massive move regarding submitting its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for an Initial Public Offering (IPO). The company aims to raise ₹2,150 (about $250 million) through a fresh issue of equity shares. This IPO additionally includes the part of offer for sale(OFS) component available on the market of 132.28 million shares by the sort of existing investors and promoters.
Further information is not yet announced and disclosed regarding lenskart IPO price brand but the IPO will list soon in coming months.
Pace Digitek: According to the DRHP, the number one goal of the Pace Digitek IPO is to secure investment for capital expenditure requirements and today’s commercial enterprise employer capabilities. Specifically, ₹630 crore from the fresh issue might be allocated closer to the one’s direction that aligns with targets. These price ranges and funds are supposed to facilitate strategic good planned projects, which encompass the increase of the company’s infrastructure and the enhancement of its operational competencies, as details published in the DRHP.
Approximately ₹630 crore is earmarked to fund capital expenditure necessities, mainly allocated and procured for the development of a 750 MW/1,500 MWh Battery Energy Storage System (BESS) venture for Maharashtra State Electricity Distribution Company Limited (MSEDCL) in Maharashtra.
Fintech Firms: Fintech businesses Pine Labs and Groww are also emerging and potential enthusiasts showcased well projections and growth path, seeking to raise ₹2,600 crore and ₹1,735 crore, respectively. Groww reported a more than threefold jump, an increased well positioned strategy in its net profits to ₹1,819 crore and a 31% surge in revenue to ₹4,056 crore for FY25.
Other Companies: Other organizations planning for a number of primary issues, each under ₹1,000 crore, accommodates companies lined up; Boat, Wakefit, Capillary Technologies, and Urban Company. Urban Company, an at-home offerings platform has grown to be profitable in FY25 showcased good performance with posting a net earnings of ₹240 crore in opposition against a loss of ₹93 crore in the previous financial year. Hyperlocal logistics enterprise Shadowfax additionally observed its net loss narrowing drastically in FY24 whilst posting an on operating-level-profit and earnings.
Why Indian Companies are Rushing to Go Public
The developing maturity of India’s domestic startup ecosystem and strong valuation multiples within the public markets are key drivers behind this ongoing trend. This has mainly encouraged smaller companies to move public not simply to raise capital but moreover to provide an exit for their investors.
A notable transformation we actually experienced is the preference for Indian listings over global and international exchanges. Analysts at Bank of America Global Research stated in a June report that India has turned out to be the third-largest IPO hub for internet organizations after the U.S. and China, in a massive component because companies tend to be inclined to get better multiples at the same time when listed in India. This has even led a couple of internet corporations with foreign domiciles moving their base back to India for listing.
Half of these companies, collectively with Groww, PhysicsWallah, Shiprocket, Boat, Shadowfax, and Meesho, are choosing the Securities and Exchange Board of India’s (SEBI) confidential filing route. This allows them greater time to finalize their IPO size and keep financial details private until they’ll be geared up with their public issue. The reasons for raising fresh capital vary, from meeting working capital necessities and repaying loans to funding expansion and making an investment in research and development.
Some notable factors behind the IPO rapidly boom
The first and foremost could be strong economic fundamentals and political stability:
At present with this amount of surge in this year, India is represented as a politically stable growth economy which serves as a bedrock for its active capital markets. The Indian economic movement has remained robust, with projected GDP increase of 6.4% to 6.5% in FY 2024-25. Foreign direct investment (FDI) inflows moreover stepped forward and increased nearly 18% year-on-year, from $47.2 billion in the first eight months of FY24 to $55.6 billion in the same time period of FY25. The re-election of the current ruling party for a third time period further offers policy continuity that is welcomed by worldwide investors.
Maturing Indian Companies and Exit Opportunities
Many great young Indian companies which have created massive value in private markets are presently at point reaching a stage in which their profitability and growth make them prepared for public markets. This surge moreover gives liquidity to investors, together with the private equity funds variety and specific capital diverse funds, who have previously funded these companies. The Indian public market has proven and demonstrated an effective suitable path for private investors to get liquidity, with nearly $30 billion of deal activity in 2024 and being pure secondary sell-downs.
Shifting Domicile and Sectoral Diversity
Historically, Indian tech companies often considered going public in the U.S. However, this trend has reversed, with many unicorns or perhaps U.S.-covered organizations now choosing to dwelling residence or domicile and listing in India, because of the growing number of tech investors and supportive valuations in the country. The current IPO pipeline additionally showcases a balanced aggregate of sectors, alongside traditional industries like financial services, industrials, and consumer goods, alongside a large number of tech and new-age organizations. Healthcare, mainly, has seen robust overall performance in Q1 2025, recording the terrific number of IPOs in over two decades for a first quarter.
Notable Companies and Future Outlook
Several companies are lining up for IPOs in 2025. Ather Energy, a smart electric scooter startup, made its mark in public debut in April 2025 and raised over ~₹2,626 crore. Other organizations anticipated to move public in July encompass Credila Financial Services, National Securities Depository Ltd (NSDL), surveillance firm Aditya Infotech, and M&B Engineering, together aiming to raise approximately $2.4 billion. Credila is looking at $584 million, at the same time NSDL is looking to raise $400 million. Additionally, LG Electronics India, home appliance industry also raised a $1.8 billion IPO lined up within the pipeline, along with companies such as JSW Cement and SMPP are seeking to raise $470 million each. There are 143 Indian IPOs and some news highlights 162 IPOs wave that has led to IPO tsunami and significantly improved growth and potentially these worth $26 billion, with 73 already accepted and approved by regulators.
Benchmarks and Investor Sentiment
Investment bankers emphasize that valuations for these corporations will rely upon marketplace situations and their business corporation overall performance, which incorporates profitability and cash flows. Many startups are drawing close to public markets because they’ve reached an excellent and certain sort of maturity, are marketplace leaders, or are worthwhile and profitable, making them likely to obtain higher multiples. Public market investors are looking for predictability in metrics, which include profitability or cash flows, even for loss-making businesses.
This present and current trend contrasts with the mega-IPOs of the year 2021 and 2022, in which various companies like Zomato, Paytm, Delhivery, PB Fintech, and Nykaa collectively raised over ₹25,000 crore. More recently, 2023 and 2024 determined smaller public issues, with companies like Ixigo, Awfis, Blackbuck, Mobikwik, and Honasa Consumer raising much less than ₹1,000 crore.
Despite previous concerns regarding market volatility, particularly following policy moves similar to the U.S.’s reciprocal tariffs, businesses are submitting draft prospectuses in anticipation of favorable marketplace situations to robust preferred IPO pricing. The developing confidence and notion in India’s startup scene, after the success of companies like Zomato and Paytm going public, further fuels this momentum.
Conclusion
The 2025 IPO sudden wave of growth in IPOs suggests a transformative era for India’s capital markets and also a sort of caution. The convergence of strong economic fundamentals, the maturation of Indian businesses, and a strategic shift in the path of domestic listings is developing an extraordinary unprecedented window of opportunity. While the attraction of excessive high valuations and the need for capital are robust drivers, the growing scrutiny from public market investors emphasizes the significance of sustainable business models and smooth paths to profitability.
For investors, this vibrant panorama gives numerous opportunities, but prudent due diligence stays definitely paramount to apprehend corporations poised for long-term value creation. At Planify, we apprehend the complexities of this evolving market. We meticulously analyze private and pre-IPO corporations, project thorough due diligence to bring you opportunities that align alongside your investment goals. Whether you are a seasoned investor seeking out high-growth potential or new to the private market, our platform is designed to provide you with curated insights and get access to promising businesses in advance before they hit the public exchanges.
Investors can discover how they may be capable of taking part in India’s growth tale. This surge now not only offers important funding for India’s growth goals however additionally gives a powerful testament to the nation’s economic resilience and its burgeoning reputation as a global financial powerhouse.