The National Stock Exchange (NSE) of India had an extraordinary 2024, setting records for initial public offerings (IPOs) in Asia by raising an impressive Rs 1.67 lakh crore. This figure represents the largest global fundraising from primary markets last year, defying global trends and showcasing India’s growing financial clout.
A Banner Year for NSE’s IPO Platforms
The NSE saw significant activity across both its mainboard and SME platform Emerge. A total of 90 companies listed on the mainboard, collectively raising Rs 1.59 lakh crore. Meanwhile, 178 small and medium enterprises (SMEs) utilized the Emerge platform, raising Rs 7,349 crore. Together, these listings brought the total number of IPOs hosted by NSE to 268—a remarkable achievement.
Sriram Krishnan, Chief Business Development Officer at NSE, emphasized the importance of this milestone. He pointed out that NSE’s performance surpassed leading exchanges across Asia, including Japan Exchange Group, Hong Kong Stock Exchange, and Shanghai Stock Exchange. The funds raised on the NSE alone accounted for a significant 25% of all IPO activity in Asia for 2024.
Hyundai Motor India Steals the Show
Among the blockbuster listings, Hyundai Motor India stood out with its Rs 27,735 crore (USD 3.3 billion) IPO. This was not only the largest IPO in India’s history but also the second-largest globally for 2024. The listing underscored the growing appeal of India’s capital markets, drawing interest from both domestic and international investors.
Other notable IPOs also contributed to this unprecedented fundraising. With investor confidence riding high, India’s primary markets continue to shine as a global hub for growth-focused businesses.
Global Trends and India’s Resilience
Globally, IPO activity in 2024 saw a decline, with only 1,145 listings compared to 1,271 in 2023. Despite this slump, NSE stood as a beacon of resilience and growth. India’s contribution to global IPO activity was unparalleled, further cementing its position as a critical player in the financial world.
To put things into perspective:
| Exchange | Funds Raised in 2024 |
|---|---|
| NSE (India) | USD 17.3 billion |
| NYSE (United States) | USD 15.9 billion |
| Shanghai Stock Exchange | USD 8.8 billion |
NSE’s dominance is clear, leading even globally renowned exchanges like NYSE and Shanghai in total funds raised through IPOs.
What Drives India’s IPO Boom?
A few factors seem to be fueling this wave of IPO success:
- Strong Economic Growth: India’s economy has shown remarkable resilience, making it an attractive destination for investors.
- Diverse Market Offerings: Companies across various sectors—technology, manufacturing, healthcare, and more—are tapping into public markets.
- Regulatory Support: Streamlined policies and an efficient regulatory framework have made it easier for companies to go public.
- Investor Confidence: Domestic and international investors are optimistic about India’s growth story, driving participation in IPOs.
A Promising Outlook
The NSE’s record-breaking 2024 signals a bright future for India’s capital markets. With more companies exploring IPOs and investors showing sustained interest, the trend is likely to continue. As Krishnan aptly stated, “The funds raised reflect a strong belief in the growth prospects of Indian businesses.”
As we look ahead, it’s clear that NSE’s performance isn’t just a momentary peak—it’s part of a larger trend of financial transformation in India.
