India's IPO pipeline robust with 49 draft offers despite slow Q1 FY27

Despite a Q1 slowdown in mainboard and SME listings, India's IPO pipeline remains robust with 49 draft offers under processing, an NSE report said. This indicates sustained issuer interest and healthy primary market momentum for the rest of FY27.

India's initial public offering (IPO) pipeline remains robust despite a moderation in listing activity during the first quarter of FY27, with 49 draft offer documents (DODs) currently under various stages of processing at the exchanges, indicating sustained issuer interest in tapping the capital markets, according to an NSE report.

The report noted that while mainboard (MB) and SME IPO activity slowed amid global uncertainty, companies continue to prepare for public listings, suggesting healthy primary market momentum for the remainder of the financial year.

"Despite a slower pace of listings, the IPO pipeline remained healthy, with 49 draft offer documents (DODs) under various stages of processing at the Exchange, indicating sustained issuer interest in accessing the capital markets," the report said.

IPO Listing Activity in Q1 FY27

According to the report, the mainboard segment recorded eight IPO listings in the first quarter of FY27, compared with 15 in the previous quarter, while the SME platform saw 14 listings, down from 17 in the preceding quarter.

Shift in Average IPO Issue Sizes

The report also highlighted a change in average issue sizes. The average mainboard IPO size stood at around Rs 585 crore in Q1 FY27, significantly lower than Rs 1,603 crore in FY26. In contrast, the average SME IPO size increased to Rs 70 crore from Rs 48 crore during the same period.

Strong Fundraising in Broader Capital Markets

Despite moderation in IPO issuances, the broader capital markets witnessed strong fundraising activity. Total fund mobilisation reached a monthly record high of Rs 3.15 lakh crore in June 2026, registering a 122 per cent month-on-month increase, largely driven by debt issuances. Commercial paper issuances more than doubled to Rs 1.9 lakh crore, up 137 per cent month-on-month, while private non-convertible debenture (NCD) issuances rose to Rs 69,700 crore, marking a 157 per cent monthly increase, reflecting strong funding demand from corporates.

Sector-wise Fundraising Highlights

The report further showed that Industrials and Financials dominated mainboard IPO fundraising during FY27 so far, accounting for 40.2 per cent and 38.7 per cent, respectively. On the SME platform, Healthcare (30.4 per cent) and Consumer Discretionary (28.2 per cent) emerged as the leading sectors in terms of fundraising.

Overall, the report suggests that while IPO listing activity has moderated in the face of global uncertainties, a healthy pipeline of draft filings and robust capital-raising activity point to continued confidence among issuers and investors in India's capital markets. (ANI)

(Except for the headline, this story has not been edited by Asianet Newsable English staff and is published from a syndicated feed.)