Resilient Indian IPO Market Eyes Strong Second Half Amidst Global Challenges

In 2025, India's IPO market showed resilience with 108 deals raising USD 4.6 billion, despite a 30% dip in volume. EY's report highlights strategic issuer and investor choices amid geopolitical uncertainties. A robust second-half pipeline, notably in tech and healthcare sectors, aligns with anticipated improving economic conditions.

In the first half of 2025, India's Initial Public Offering (IPO) landscape showed remarkable resilience, recording 108 deals and raising USD 4.6 billion. This performance comes in light of a significant 30 percent decline in transaction volume in comparison to the previous period, a report by EY reveals.

Despite the lower number of transactions, the decline in fundraising proceeds was marginal at just 2 percent. This suggests a strategic, quality-driven approach by companies accessing public markets. The report attributes this trend to issuers and investors adopting a more selective strategy, prioritizing optimal market timing and valuations amidst ongoing global uncertainties and geopolitical tensions.

The report anticipates that the second half of 2025 will witness a surge in high-profile IPOs, as many companies await better market conditions. The supportive regulatory environment, coupled with a robust pipeline in sectors like technology and healthcare, positions India's IPO market for potential acceleration.

The global IPO landscape mirrored India's narrative, with 539 deals raising USD 61.4 billion. Notably, the Americas maintained stability, while Europe and India noted declines. Asia-Pacific saw solid growth, establishing it as a key player in the global scene.

(With inputs from agencies.)