Overview
- Prime Database said Tuesday that 112 firms raised Rs 1.79 lakh crore in FY26, the highest IPO tally in 29 years.
- Roughly 66% of FY26 IPOs now trade below their offer price, with about 15 stocks down at least 50% and some falling close to 70%, as mid- and small-cap names bore the brunt.
- Retail interest cooled as average applications per issue fell to 12.87 lakh from 21.31 lakh in FY25, and average listing gains dropped to about 8% from 30%, with average post-listing returns at -7% by March 27.
- Market stress tied to the West Asia conflict pushed up crude costs, the rupee weakened, foreign portfolio investors pulled money, and aggressive pricing left many new issues vulnerable.
- A large pipeline now sits on hold, with 144 SEBI-approved issues seeking about Rs 1.75 lakh crore and another 63 awaiting nods for Rs 1.37 lakh crore, while bankers see FY27 favoring well-priced, higher-quality offerings.