The Indian primary market witnessed 2024 as the blockbuster year for initial public offerings (IPOs), according to a report by Motilal Oswal.
The report highlighted that a record-breaking ₹1.8 trillion was raised through more than 317 IPOs so far this year. This figure surpasses the previous high of ₹1.3 trillion set in 2021 and is significantly higher than last year’s total of ₹576 billion.
It said, “CY24 has been a blockbuster year for the Indian primary market, with INR1.8t raised through more than 317 IPOs to date – an all-time high.”
The report attributed this remarkable growth to the changing dynamics of the Indian equity market and robust inflows of funds. Equity issuances across various categories witnessed a growth of approximately 2.6 times compared to the previous year.
This surge reflects the evolving nature of the Indian capital market, which continues to attract investors with diverse opportunities.
The report emphasised that the IPO market this year showcased unprecedented diversity, with companies from a wide range of sectors entering the market. This is a shift from previous years, where IPO activity was often concentrated in a few emerging industries.
The broader sectoral representation in IPOs is seen as a positive development for the Indian capital market, offering investors multiple avenues to participate in the country’s growth story.
Additionally, the report also added that the benchmark index, Nifty 50, crossed the 26,000 mark in September 2024, achieving a year-to-date rise of approximately 12 per cent. This is slightly lower than the 20 per cent increase recorded in 2023 but still indicates a strong performance.
The report also underlined the robust momentum in the Indian IPO market, driven by an evolving investment landscape and healthy fund inflows. The record fundraising and sectoral diversification have positioned the Indian primary market for sustained growth, reflecting investor confidence in the nation’s economic trajectory.
As 2024 draws to a close, the performance of the Indian IPO market serves as a testament to the increasing maturity and resilience of the country’s capital markets.
