After an IPO tsunami in 2025 marked by record fund mobilisation and blockbuster subscriptions, India’s primary market is gearing up for another eventful year, with 2026 expected to host some of the largest
and most closely watched public offerings in the country’s market history.
A year of scale with discipline
India’s IPO market in 2025 combined sheer scale with growing investor maturity, according to Gaurav Garg, Research Analyst at Lemonn Markets Desk. Mainboard activity surged, with 93 companies tapping the market compared with 76 in 2024, raising about Rs 1.54 lakh crore and taking total equity fundraising for the year to nearly Rs 1.6 lakh crore. The SME segment mirrored this momentum, recording 183 listings between January and September and raising Rs 8,620.5 crore, split almost evenly between NSE Emerge and BSE SME.
Yet beneath the headline numbers, investor behaviour turned noticeably more selective. Mainboard IPO subscriptions moderated to an average of 33 times from 42 times a year earlier, while retail participation cooled to 25 times amid valuation concerns. In contrast, SME IPOs emerged as the preferred high-risk, high-reward playground, averaging 105 times subscription, driven largely by aggressive HNI bidding that touched 198 times, Garg added.
Listing gains cool, scrutiny rises
Listing performance in 2025 also reflected this shift in sentiment. “Mainboard IPOs debuted with average gains of 8.4 per cent, and SME listings at 13.1 per cent, both significantly lower than last year’s highs. By August, nearly 30 SME and nine mainboard issues were trading below issue price, reflecting tighter scrutiny on valuations. A clear pattern emerged: smaller IPOs performed better. Issues under ₹2 billion delivered 37% gains, outperforming larger Rs 5,000 crore-plus offerings at 29%, making the size-performance gap a defining theme,” Garg said.
A clear size-based divergence stood out. Smaller IPOs, those raising under Rs 200 crore, delivered average gains of 37 per cent, comfortably outperforming large offerings of Rs 50 billion and above, which returned about 29 per cent. Sensible valuations, rather than brand size alone, proved decisive.
The LG Electronics moment
The defining moment of the year came with the LG Electronics issue, which drew bids worth a staggering Rs 4.4 lakh crore, the highest ever for a domestic IPO. The issue was subscribed 54 times overall, with QIB demand soaring to 166 times. Retail investors, however, faced lottery-like odds, a theme repeated across several high-demand offerings.
Liquidity present, caution intact
Despite strong domestic liquidity, sentiment remained cautious. Global uncertainties, foreign portfolio investor outflows, valuation pushback and a rise in OFS-heavy structures kept investors disciplined. At the same time, steady SIP inflows and a growing role of domestic institutional investors ensured that supply did not overwhelm demand. The result was a year defined by high volumes, sharper pricing discipline and clear performance divergence, with SMEs dominating participation and well-priced smaller IPOs leading returns.
Why 2026 could be bigger
Looking ahead, expectations for 2026 are optimistic. Market participants anticipate stronger equity performance, particularly in the second half of the year, as policy tailwinds begin to feed into economic activity. Benefits from GST reforms, rate cuts implemented in 2025 and the revised tax structure, with zero tax up to Rs 12 lakh under the new regime, are expected to support consumption and household spending.
Improved foreign inflows, as global quantitative tightening pauses and easing cycles potentially resume, could further lift sentiment. The upcoming Union Budget is also expected to revive infrastructure and capital expenditure, which moderated last year due to a temporary dip in tax collections, adding momentum to the investment cycle.
A crowded IPO pipeline
Pipeline visibility for 2026 is already strong. Data from Prime Database, cited by livemint, shows that 84 companies have received Sebi approval to raise about Rs 1.14 lakh crore, while another 108 firms are awaiting clearance for issues totalling Rs 1.46 lakh crore. In all, more than 190 companies are either approved or in the queue, pointing to a potential fundraising pool of over Rs 2.5 lakh crore, suggesting that the IPO cycle is likely to remain robust well into 2026.
Most-awaited IPOs of 2026
Among the marquee names expected to dominate investor attention are Reliance Jio, which could be one of the largest IPOs in Indian market history. According to Bloomberg, bankers are pitching a valuation of up to $170 billion for Jio Platforms, with Mukesh Ambani indicating that a listing could happen in the first half of 2026.
The long-pending National Stock Exchange IPO is also back in focus. Sebi chief Tuhin Kanta Pandey recently said the issue would eventually “see the light of day”, while the NSE’s unlisted shares continue to trade actively in the grey market.
E-commerce major Flipkart moved closer to an IPO after the NCLT approved the merger of eight group entities, a key step toward securing an Indian domicile. Payments firm PhonePe has already filed a confidential DRHP with Sebi, reportedly aiming to raise about $1.5 billion.
Quick-commerce player Zepto is expected to file IPO papers for a roughly $500 million issue, while hospitality-tech firm Oyo is targeting a valuation of $7-8 billion, according to PTI.
Consumer electronics brand boAt, auto-tech platform CarDekho, NBFC Hero FinCorp and SBI Mutual Fund also feature prominently among the most-anticipated offerings.
