India dominates IPO market with 200 issues in Asia Pacific in 2024, China falters

New Delhi, Dec 27 India dominated the initial public offering (IPO) market in the Asia-Pacific region with over 200 companies going for public issues in 2024, according to a report on Friday.

However, China saw a sharp drop in the number of IPOs by 51.3 per cent, impacted by tightened regulations. The country saw the launch of 64 IPOs raising just over $5.2 billion.

India’s IPO market hit a bull run this year, with proceeds skyrocketing to $11.2 billion — more than doubling the $5.5 billion raised in 2023, said GlobalData, a leading data and analytics company.

“The pipeline for 2025 promises even bigger fireworks, fuelled by skyrocketing retail participation, hefty domestic inflows, and foreign portfolio investors (FPIs) flexing their muscles despite being net sellers in the secondary market,” said Murthy Grandhi, company profiles analyst at GlobalData.

Hyundai Motor led the charge in India with a colossal $3.3 billion issue, followed by Swiggy’s $1.3 billion IPO. Other major issues include NTPC Green Energy’s $1.2 billion IPO, Vishal Mega Mart’s offer to raise $0.9 billion, and Bajaj Housing Finance’s $0.8 billion issue.

This blockbuster year reflects issuer confidence and investors’ insatiable appetite for listing-day pops and long-term growth plays in the country.

According to Grandhi, surging private capital expenditure and the government’s laser focus on infrastructure and core sectors added the perfect recipe for capital market dynamism.

“India’s IPO boom is more than just a numbers game — it’s a testament to the resilience and evolution of its financial ecosystem, positioning it as a global hotspot for fundraising action,” the analyst noted.

The IPO market in the Asia-Pacific (APAC) demonstrated remarkable resilience in 2024, with a sustained upward trajectory despite a high inflationary environment and geopolitical tensions.

The APAC market witnessed a notable surge in IPO activity, with 604 listings raising a total of $33.9 billion. This represents a 21.5 per cent growth in terms of IPO proceeds compared to 2023.

APAC’s IPO landscape was dominated by the technology and communications industry, with 118 transactions amounting to a total of $3.8 billion, followed by financial services, which recorded 60 deals with an overall value of $2.6 billion.

Source: IANS