Primary market participants adapted to subdued conditions by cutting issue sizes to align with prevailing market multiples rather than previous peaks. A one-time regulatory relief measure from the Securities and Exchange Board of India helped spark a record quarter by preventing key approvals from lapsing. These adjusted valuations directly supported performance, allowing roughly three-quarters of recent offerings to trade above their offer price on their first day.
Key points
Institutional investors are forcing issuers to benchmark share sales against current mark…: Institutional investors are forcing issuers to benchmark share sales against current market multiples rather than peak valuations.
Downsizing offerings resulted in stronger debuts, with 49 third-quarter listings finishin…: Downsizing offerings resulted in stronger debuts, with 49 third-quarter listings finishing above their original issue prices.
Primary market momentum is poised to continue with 124 approved companies looking to rais…: Primary market momentum is poised to continue with 124 approved companies looking to raise a combined ₹2.45 trillion.
Sources checked by our analysis pipeline: 1
Beneath the headlines of record listings, India’s primary market surge is being driven by smaller, downsized offerings as issuers prioritize locking in current liquidity over ambitious fundraising targets.
While the September quarter registered a record 63 initial public offerings (IPOs)—with 32 in September alone, including six on a single day—smaller issues kept values below record levels.
The average IPO size in 2026 stood at about ₹1,450 crore at the end of October. This was across 109 offerings of shares worth a combined ₹1.58 trillion, compared with 103 IPOs that sold ₹1.76 trillion of shares in 2025. Stripping out the four largest IPOs—Jio Platforms Ltd, the National Stock Exchange of India Ltd, Manipal Health Enterprises Ltd and SBI Funds Management Ltd—the average issue size fell to ₹820 crore this year from an average of ₹1,700 crore in 2025.
“The record number of IPOs despite weakness in the secondary market reflects the resilience of India’s primary market,” said Pranav Haldea, managing director of Prime Database Group. “However, the underlying trend is one of issuers recalibrating to market realities.”
Indian benchmark indices extended their gains for a fifth consecutive day, buoyed by declining crude oil prices and continuous foreign institutional investments. Broad-based buying propelled the Nifty toward the 24,000 threshold, with midcap and smallcap segments decisively outpacing frontline stocks. Analysts are leveraging this sustained market momentum to target tactical opportunities across pharmaceutical, infrastructure, and financial shares.
Financial markets have paused their upward trajectory as participants evaluate the election results alongside wider economic conditions. Traders are taking time to digest recent political developments before committing to new positions. The pause reflects a cautious approach across the investment landscape as broader macroeconomic trends are weighed.
Domestic demand and client acquisition drove modest gains across Japanese service firms in October, even as persistent structural hurdles curbed long-term optimism. Business sentiment slumped to an eight-month low due to an ageing workforce and stubborn price pressures, leading to the slowest hiring rate in over a year. These mixed economic signals provide crucial data for the Bank of Japan as it weighs future interest rate hikes.