India’s stock markets are witnessing a wave of blockbuster IPOs, showing that domestic investors remain confident in the country’s growth story, even as the Nifty and Sensex have delivered no returns over the past 13 months.Experts say this year’s record inflow of funds into IPOs reflects strong trust in India’s economic potential.Ajay Bagga, Banking and Market Expert, told ANI, “This surge in Initial Public Offerings (IPOs), especially with the blockbuster issues of Tata Capital and LG Electronics India, unequivocally denotes a deep and unwavering confidence of domestic investors in the Indian growth story. It’s a powerful signal that local capital is not just supporting but actively driving the primary market, offsetting global volatility and foreign capital outflows from the secondary market.“Primary market activity has been robust in 2025. So far, 74 Indian companies, besides Tata Capital and LG Electronics India, have raised more than Rs 85,241 crore through IPOs. With major IPOs such as Tata Capital raising around Rs 15,512 crore and LG Electronics India approximately Rs 11,607 crore, 2025 is shaping up to be one of the biggest fundraising years in India’s IPO history.Investors, this year, have spent money in multiple sectors, from NBFCs and consumer durables to technology.Aashish P Sommaiyaa, executive director & CEO of WhiteOak Capital, told ANI, “I think there is money on the sidelines to invest. If the secondary market looks like it has gone up a lot and has been flatlining or not rewarding people, and also with some news about Tata Capital IPO coming at a big discount to private market deals, there may be a perception that some IPOs are attractive relative to what is happening in the secondary markets — so not surprised to see the subscription. Furthermore, there is a perceived tailwind for white goods and consumer sectors — Tata NBFC and LG are both beneficiaries of this. Lastly, both are huge brands.”India currently stands as the fourth-largest IPO market in the world by funds raised, trailing only the US, Hong Kong, and China. At times, based on historical data and peak activity periods, it has even ranked as the third-largest global primary market.The strong investor’s response can be seen in the oversubscription numbers: LG Electronics India saw a staggering 54.02 times subscription, while Tata Capital received 1.95 times. Oversubscription occurs when demand for shares exceeds supply, signalling strong confidence in a company’s fundamentals and long-term prospects. It is calculated by dividing the overall shares bid count by the total number of shares available. For instance, if an entity is offering 1 crore shares and receives 54 crore shares, the IPO is oversubscribed 54 times.In India, high oversubscription, especially among retail and Non-Institutional Investors (NII), signals strong confidence in a company’s fundamentals and long-term growth potential. Overall, the recent IPO surge highlights the resilience and optimism of domestic investors, reaffirming that India’s growth story continues to attract strong participation despite global uncertainties.
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