India’s Public Market Fundraising Eyes Record ₹6.5 Trillion by FY27

India’s public market fundraising is projected to achieve a record ₹6-6.5 trillion by FY27, driven by a rare simultaneous surge across Initial Public Offerings (IPOs), Qualified Institutional Placements (QIPs), and block deals. This significant uptick follows a prolonged period of subdued activity, as stated by Amit Ramchandani, head of investment banking at Motilal Oswal.

Key Drivers of Market Surge

• The market is experiencing broad-based participation, encompassing various market capitalizations and deal sizes.
• Amit Ramchandani anticipates a strong second half for FY27, with an estimated 20 IPOs expected in September alone.

This robust projection from Motilal Oswal highlights a strategic shift within the market. Companies are now more willing to accept lower initial IPO valuations and smaller offerings to establish a public market benchmark, subsequently selling larger stakes through block deals.

Fundraising Projections Breakdown

• IPO fundraising is expected to increase to ₹2.75-3 trillion in FY27, up from ₹1.7 trillion in FY26.
• QIP fundraising is projected to double, reaching ₹1.25-1.5 trillion.
• Including block and bulk deals, the total public market fundraising is set to achieve ₹6-6.5 trillion in FY27.

Despite the current strong pipeline, Ramchandani expects the pace of new IPOs to moderate once the existing queue of over 240 draft filings, with 145 approvals, is cleared. This moderation is primarily anticipated to affect smaller businesses.