India’s capital markets are set for a historic run as an unprecedented India IPO boom sweeps the primary market.
Nearly 162 companies are lining up to raise a record ₹2.4 lakh crore through initial public offerings in the second half of 2025.
The rush reflects confidence in India’s robust economic fundamentals and strong investor appetite, both institutional and retail.
Big Names Prepare Listings
Among the prominent names gearing up for IPOs are LG Electronics India and Tata Capital Ltd.
LG Electronics India, the Indian arm of South Korea’s tech giant, is planning an IPO worth ₹15,000 crore.
The company seeks to expand its presence in India’s booming home appliances and consumer electronics market.
Tata Capital is also eyeing a significant public issue, with reports suggesting it could raise around ₹10,000 crore.
These big-ticket offerings are expected to attract substantial interest from investors and boost market liquidity.
SEBI Approvals Pave the Way
As of June 2025, 71 companies had already secured approval from the Securities and Exchange Board of India (SEBI).
These firms aim to collectively raise ₹1.14 lakh crore, according to data from Prime Database.
Market experts believe the remaining companies in the pipeline will quickly follow suit, given the favourable market environment.
Market Conditions Fuel Optimism
Several factors are contributing to the India IPO boom.
Stock markets have stabilised after volatility linked to geopolitical tensions, particularly in the Middle East.
The easing of crude oil prices and resilient domestic consumption have restored investor confidence.
Economic indicators like manufacturing growth, services expansion, and robust GST collections are also driving optimism.
Retail Participation at All-Time High
Retail investor participation is reaching new highs in India’s IPO market.
Easy access to digital trading platforms has empowered small investors to participate actively in new issues.
Experts say retail subscriptions are often oversubscribed many times, reflecting deep retail enthusiasm.
A market analyst noted:
“Retail investors have become a force in the primary market. They are better informed and eager to capitalise on India’s growth story.”
Record Fundraising Targets
The scale of the India IPO boom is unprecedented.
In comparison, 2021—considered a blockbuster year—saw companies raise about ₹1.19 lakh crore through IPOs.
This year’s targeted ₹2.4 lakh crore represents more than double that amount, signalling the market’s growing depth.
The capital raised will help companies fund expansion, reduce debt, and invest in new projects.
Sectors Driving the Boom
Multiple sectors are fueling the pipeline of upcoming IPOs. Technology, renewable energy, financial services, manufacturing, and consumer goods are all contributing significant volumes.
Startups and digital-first businesses are particularly keen to tap public markets, leveraging India’s digital economy growth. However, experts caution that valuation expectations must remain realistic.
A finance professor from IIM Ahmedabad said:
“Strong fundamentals are crucial. Investors are wary of high valuations without clear profitability.”
Challenges Remain
Despite the buoyancy, the India IPO boom is not without risks.
Global economic uncertainty, inflation concerns, and potential interest rate hikes could dampen market sentiment. Companies will need to carefully price their offerings to ensure successful subscriptions.
Market veterans advise investors to research thoroughly before investing in new listings.
Long-Term Impact on Economy
Analysts believe the current IPO wave will strengthen India’s capital markets in the long run.
It will broaden the investor base, deepen liquidity, and give businesses access to lower-cost capital.
Moreover, successful public listings can generate employment and boost confidence in India’s growth trajectory.
A leading investment banker said:
“This is a historic opportunity for India to position itself as a global capital markets hub.”
Learn about India’s capital market reforms here.
Investors Urged to Stay Alert
As India heads into the second half of 2025, excitement over the India IPO boom shows no signs of slowing.
Investors are advised to keep track of upcoming issues, study company fundamentals, and assess market trends.
The year ahead promises to reshape India’s financial landscape, making it a landmark period for both companies and investors.
With 162 firms ready to test the waters, the primary market is poised to witness activity like never before.
India’s growth story, coupled with strong market sentiment, is firmly driving the IPO boom into record territory.
Conclusion
India’s IPO boom signals a new chapter for the nation’s capital markets. With 162 companies ready to raise ₹2.4 lakh crore, investors and businesses alike stand to benefit from stronger liquidity and economic momentum. While challenges remain, the outlook for the primary market remains bright. As the second half of 2025 unfolds, all eyes will be on how India sustains this historic fundraising wave and translates it into long-term growth.