India’s IPO (Initial Public Offering) market witnessed a remarkable comeback in Q2 FY27, delivering one of its strongest quarter. A total of 62 mainboard companies listed during the quarter, raising INR876 billion, reflecting a sharp recovery from the subdued activity seen in Q1FY27. The revival was driven by improving market conditions and a return of companies that had previously deferred their IPO plans, resulting in a concentration of launches during the quarter.
Investor demand remained exceptionally robust despite the significant increase in issuance volumes. Average oversubscription rose to 61x, underscoring strong participation in IPO market, with 76 per cent of IPOs debuted at a premium. Share of Offer for Sale (OFS) proceeds increased to 61 per cent, largely influenced by a few large transactions. Excluding these outliers, OFS contribution was materially lower, indicating that fresh capital raising remained a meaningful component of market activity.
Sectorally, financial services continued to dominate India’s IPO landscape, accounting for the largest share of overall proceeds. Overall, Q2FY27 demonstrated a healthy and resilient IPO ecosystem. The combination of a deep issuer pipeline, supportive liquidity conditions, and sustained investor confidence positions the primary market favorably for continued momentum in the coming quarters.
