The Indian IPO market, which has witnessed unprecedented demand from investors in recent years, has slowed down in the current calendar year, as weak sentiment toward risky assets, driven by heightened market volatility and a poor response from investors towards new listings, has turned the primary market into a low-activity environment with tepid subscription levels.
According to Trendlyne data, 31 companies, including both mainboard and SME segments, have raised funds so far, with three more set to list next week, bringing the total count to 34, lower than the 50 listings during the same period last year.
2025 was a record-breaking year for new listings, with a whopping 373 IPOs, comprising 103 mainboard and 270 SME issues, successfully making their stock market debuts, even as the secondary market went through a roller-coaster ride triggered by trade and geopolitical worries.
Collectively, companies raised ₹1.95 lakh crore, higher than the ₹1.90 lakh crore mobilised through 336 IPOs in 2024.
Meanwhile, companies that have raised funds so far in 2026 have seen lukewarm demand for their issues, especially from retail investors, whose portion usually sees strong demand for fresh issues, with subscriptions coming in lower compared to last year, reflecting cautious sentiment.
Muted response from investors
Ten issues have received subscription levels below 10x, indicating weak demand. Aye Finance, a mainboard issue, received tepid subscription, as it was fully booked only on the final bidding day, and it debuted on the exchanges at par with its IPO price.
Victory Electric Vehicles, which received muted demand for its issue, listed at a 16% discount to its IPO price, while Kanishk Aluminium, too, made its debut at 20% below its IPO price.
Even some issues with healthy subscriptions have debuted poorly, with Amagi Media Labs listing 12% below its IPO price, even though the IPO was subscribed 30.2 times during its three-day bidding period.
Meanwhile, Gabion Technologies, which was oversubscribed 738 times, the highest in 2026, listed at only a 9% premium.
In terms of mainboard issues, Bharat Coking Coal was the only outlier, garnering a 147-times subscription, driven by strong institutional investor participation, as both the QIB and NII portions were subscribed 311 times and 258 times, respectively, while the retail quota was also booked 49.3 times.
The stock also made a bumper debut on the exchanges, listing at ₹45 apiece, a 95.7% premium over its IPO price of ₹23 per share.
Nearly 60% of IPOs trade below issue prices
While listings were subdued, post-listing gains have also been moderate, with 18 companies, or 58% of the 31 listed, trading below their issue prices, Trendlyne data showed.
Losses have reached up to 70%, resulting in significant wealth erosion for early investors who remained invested in these counters.
Among the worst performers are Aritas Vinyl, trading at a 70.6% discount to its IPO price, along with Yajur Fibres, Arisinfra Solutions, Narmadesh Brass Industries, Victory Electric Vehicles, Armour Security, and Kanishk Aluminium, all down between 37.5% and 65% from their issue prices.
Even a big-ticket IPO, such as Fractal Analytics, is trading 4.6% below its IPO price.
In contrast, 13 companies are trading with gains. Grover Jewels leads the pack, delivering robust returns, with shares trading 61% above the IPO price.
KRM Ayurveda, Accretion Nutraveda, and Bharat Coking Coal are also trading 56%, 50%, and 48% higher than their issue prices, respectively.
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