India’s IPO market zoomed to $11.2 billion in 2024, set for record growth next year too, says report

India's initial public offering (IPO) market reached a “historic milestone” as it doubled proceeds from $5.5 billion in 2023 to $11.2 billion in 2024, as per the Global Data report. Company Profiles Analyst at GlobalData, Murthy Grandhi, promises “even bigger fireworks” in 2025, according to an ANI report.

“India's IPO market hit a bull run in 2024, with proceeds skyrocketing to $11.2 billion — more than doubling the $5.5 billion raised in 2023. The pipeline for 2025 promises even bigger fireworks, fueled by skyrocketing retail participation, hefty domestic inflows, and FPIs flexing their muscles despite being net sellers in the secondary market,” he said.

Blockbuster Growth

Grandhi added that the growth this year “reflects issuer confidence and investors' insatiable appetite for listing-day pops and long-term growth plays.”

The government's emphasis on infrastructure and core sector development, combined with increased private capital expenditure, played a pivotal role in enhancing market dynamism.

He emphasised that India's IPO boom is more than just a numerical achievement — it signifies the evolution and resilience of the country's financial ecosystem, establishing India as a global hub for capital fundraising.

Big Successes on List in 2024

India's key IPOs in 2024 included Hyundai Motor's $3.3 billion issue, Swiggy's $1.3 billion offering, NTPC Green Energy's $1.2 billion IPO, Vishal Mega Mart's $0.9 billion listing, and Bajaj Housing Finance's $0.8 billion issue.

Other Asia-Pacific (APAC) nations also reported significant IPO activity. Japan experienced a phenomenal 275.1 per cent growth, with 69 IPOs generating $12.6 billion, while Malaysia recorded a 145.9 per cent increase, with 36 IPOs raising $1.1 billion.

However, China saw a substantial decline in IPO numbers, with a 51.3 per cent drop attributed to tightened regulations. The country had 64 IPOs, raising just over $5.2 billion.

India Top Performer in APAC Region

The region recorded 604 IPOs, raising a total of $33.9 billion — a 21.5 per cent increase in proceeds compared to 2023. Among APAC countries, India stood out as the top performer, with over 200 companies going public, according to Global Data, a prominent data and analytics firm.

The APAC IPO market was led by the technology and communications sector, which recorded 118 transactions worth $3.8 billion, followed by the financial services sector, with 60 deals amounting to $2.6 billion.

On the broader APAC front, standout deals included Lineage Inc's $4.4 billion IPO and Tokyo Metro's $3.2 billion listing, both in Japan.

The report stated that globally too, 2025 IPO market will surpass 2024 IPO activity, with a strong pipeline already in place. However, the trajectory will depend on global factors such as Federal Reserve rate decisions and the performance of emerging markets.

(With inputs from ANI)