According to a report by Motilal Oswal, 2024 was a successful year for initial public offerings (IPOs) in the Indian primary market.
The report highlighted that a record ₹1.8 lakh crore has been raised through over 317 IPOs so far this year. This figure surpasses the previous record of ₹1.3 lakh crore in 2021 and is significantly higher than last year’s total of ₹57,600 crore.
It said: “CY24 has been a successful year for the Indian primary market, raising INR 1.8 trillion to date through over 317 IPOs – an all-time high.”
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The report attributed this remarkable growth to the changing dynamics of the Indian stock market and robust fund inflows. The share issuances in various categories showed a growth of about 2.6 times compared to the previous year.
This increase reflects the evolving nature of the Indian capital market, which continues to attract investors with diverse capabilities.
The report highlighted that this year’s IPO market showed unprecedented diversity, with companies from a wide range of sectors entering the market. This is a shift from previous years, when 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 multiple opportunities for investors to participate in the country’s growth story.
Moreover, the report also added that the benchmark index, Nifty 50, crossed the 26,000-point mark in September 2024, registering an increase of around 12 percent year-to-date. This is slightly lower than the 20 percent increase in 2023, but still indicates strong performance.
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The report also highlighted the robust momentum in the Indian IPO market, driven by an evolving investment landscape and healthy fund inflows. Record fundraising and sectoral diversification have positioned India’s primary market for sustainable growth, reflecting investor confidence in the country’s economic trajectory.
As 2024 draws to a close, the performance of India’s IPO market is a testament to the increasing maturity and resilience of the country’s capital markets.
