India’s IPO Market Record: ₹3.8 Lakh Crore in 701 Issues
Why in the news
Capital raised via public issues reached a historic peak, reflecting investor confidence and deeper capital markets.
Key facts
- Amount: about ₹3.8 lakh crore from 701 IPOs in 2024-25.
- Comparison: beats the previous four years taken together.
| IPO type | Pricing |
|---|---|
| Fixed price issue | One pre-set price, chosen with merchant bankers |
| Book building (most common) | Price band; final price found from investor demand |
About an IPO
- A private company sells shares to the public for the first time, raising equity capital and listing on NSE and BSE.
Stages
- Preparation and due diligence with merchant bankers.
- DRHP (Draft Red Herring Prospectus) filed with SEBI.
- Pricing and bidding in the subscription window.
- Basis of allotment finalised by the registrar.
- Listing and secondary-market trading.
Exam angle
- DRHP goes to SEBI.
- Most common type: book building.