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India's primary market is poised to witness stronger momentum in the second quarter of FY2026-27, backed by a robust pipeline of companies preparing to launch initial public offerings (IPOs), according to Axis Capital's August IPO Market Update.
The report said 146 companies have already secured approval from the Securities and Exchange Board of India (SEBI) and are awaiting market entry, while another 65 companies have filed their draft red herring prospectuses (DRHPs) and are awaiting the regulator's observations. It added that 33 companies have submitted confidential DRHPs since March 2025. The upcoming IPO pipeline features several marquee names, including Jio Platforms, National Stock Exchange (NSE), PhonePe, Zepto, Oravel Stays (Oyo), Cult.Fit, Indian Gas Exchange, Acevector (Snapdeal), Imagine Marketing (boAt), Manipal Payment and Identity Solutions, and Playsimple Games. The brokerage also highlighted the strong performance of recently listed companies. It said the combined market capitalisation of 407 mainboard IPO-listed companies tracked by Axis Capital, which were listed between July 2020 and July 2026, increased 4.89 per cent to Rs 64.59 lakh crore in July from Rs 61.58 lakh crore in June, outperforming the broader equity market. The report noted that 12 mainboard IPOs entered the market during July. Of these, nine debuted at a premium, one listed flat, while three were yet to be listed as of July 31. On long-term performance, the report said the 407 IPOs analysed delivered an average listing gain of 21 per cent for retail investors. As of July 31, 2026, the average return from the issue price had risen to 66 per cent, suggesting that several IPOs continued to generate gains well beyond their listing day. Among the 407 companies covered in the report, 86 companies, representing 21 per cent of the total, were trading at more than double their issue price as of July 31. Another 50 companies had gained between 50 per cent and 100 per cent over their issue price, while 55 companies were trading 25-50 per cent above their offer price. Axis Capital's IPO Market update has analysed the performance of mainboard IPOs and follow-on public offers (FPOs) listed between July 2020 and July 2026. Covering 407 companies across multiple market cycles. (ANI)
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