India IPOs Raise ₹1.9 Lakh Crore in FY26 Amidst Scrutiny
By Business Desk
India’s primary market saw over 360 IPOs raise ₹1.9 lakh crore in FY26, ranking it globally despite heightened investor scrutiny and a focus on strong fundamentals.
Indian companies collectively raised Rs 1.9 lakh crore through more than 360 Initial Public Offerings (IPOs) in fiscal year 2026. This impressive fundraising established India as one of the world’s most active primary markets.
Mainboard Activity Surges
Mainboard IPOs reached an unprecedented high, with 109 issues in FY26. This activity occurred despite prevailing global uncertainties and volatile market conditions.
- Total mainboard funds raised in FY26: Rs 1.77 lakh crore
- Compared to FY25: 80 issues raised Rs 1.63 lakh crore
- India’s global listing share (March 2026): 14%, placing it second only to China
Issue Structure and Investor Focus
Investor selectivity increased significantly, favoring companies that demonstrated stronger fundamentals and clear earnings visibility. The composition of these mainboard issues also showed a distinct split.
- Offer for Sale (OFS) transactions: 61% of mainboard IPO proceeds
- Fresh issues for growth initiatives: 39%
Heightened Scrutiny, Moderated Gains
The market environment reflected heightened investor scrutiny throughout FY26. Key performance metrics for IPOs showed a notable moderation compared to the previous fiscal year.
- Average IPO oversubscription rate in FY26: 39 times (down from 71 times in FY25)
- Average listing-day gains: 7% (down from 29%)
- Average annual performance of listed IPOs: negative 17%
Karan Marwah, Partner and CFO Advisory Leader at Grant Thornton Bharat, highlighted that success in the contemporary IPO market is not merely about listing. He emphasized a company’s preparedness to operate as a public entity with the necessary governance and credibility to sustain investor confidence beyond the initial listing day.
SME Segment Sees Record Funds
The Small and Medium Enterprise (SME) segment also demonstrated robust fundraising activity. It achieved its highest amount in the three-year review period.
- SME IPOs in FY26: 258 issues raised Rs 12,030 crore
- SME IPOs in FY25: 242 issues raised Rs 9,900 crore
The overall IPO pipeline remains robust, bolstered by strong domestic investor participation. This indicates continued structural growth drivers and an expanding investor base.