Daijiworld Media Network – Mumbai

Mumbai, Oct 5: India’s vibrant equity market is gearing up for a milestone month, with proceeds from initial public offerings (IPOs) in October expected to surpass a record $5 billion, marking the busiest period yet in the nation’s IPO history.

Two billion-dollar-plus IPOs — Tata Capital Ltd. and LG Electronics India Ltd. — are set to open for public subscription in the coming week, testing investor sentiment in one of the world’s most dynamic markets. The $1.7 billion Tata Capital issue is the biggest since Hyundai Motor India’s $3.3 billion listing last year.

Driven by corporate expansion in the world’s fastest-growing major economy, India’s IPO boom is backed by robust domestic capital and millions of retail investors encouraged by a nine-year stock market rally. “There is now ample capacity to absorb supply,” said Raghuram K, partner at Uniqus Consultech, citing the growing strength of local mutual funds and insurance firms.

Tata Capital and LG Electronics set the tone

The Tata Capital IPO, attracting anchor investors such as Morgan Stanley, Goldman Sachs, and White Oak Capital, will open for public subscription from October 6 to 8, with trading set to begin on October 13. The LG Electronics India IPO will open from October 7 to 9, and its listing is expected on October 14.

For investors, Tata Capital offers exposure to one of India’s most trusted conglomerates, while LG Electronics India provides access to the booming consumer market of the world’s most populous country.

Market outlook and risk

Despite India’s $5.1 trillion stock market slowing down in 2025 — with the Nifty 50 Index rising only 5% this year — the nation remains the world’s fourth-busiest IPO market, raising $11.2 billion in the first three quarters, according to Bloomberg data.
Analysts at JPMorgan, JM Financial, and Kotak Mahindra Capital predict the momentum will continue, aided by regulatory changes making it easier for large private firms to go public and relaxed central bank norms on IPO-linked loans.

However, large IPOs in India have a mixed debut record — Hyundai Motor, LIC, and Paytm all saw steep declines on listing day. “Tata and LG are both big brands and should attract investor interest unless there’s a major global disruption,” said Varsha Valecha, Senior Vice President at Chanakya Capital, Mumbai.

With optimism high and foreign investors watching closely, the performance of these mega issues will likely define India’s IPO trajectory for the rest of 2025.