India IPO pipeline targets $20 billion in FY27: SEBI backlog

A subdued first half, but the full-year target stays intact

India’s IPO market is entering the second half of 2026 with renewed expectations of a stronger run-rate after a softer start to the year. Bhavesh Shah, Managing Director and Head of Investment Banking at Equirus, said he remains optimistic about a $10 billion IPO fundraise this year despite a subdued first half. He added that the bulk of the work, about $1 billion to $1 billion, may be delivered by three to four large IPOs already in the pipeline. The comment reflects a market that is active but selective, with deal timing dependent on brief issuance windows. It also suggests that headline fund-raising totals may hinge on a small number of transactions. That dynamic is consistent with how IPO recoveries often play out when volatility is elevated.

Global IPO recovery is real, but uneven

The broader global context is supportive, but not smooth. EY noted that after years of subdued activity, global IPO markets are regaining momentum as earnings improve, sector participation broadens, and demand rises around AI and related infrastructure. At the same time, the recovery is uneven, with execution windows remaining brief. EY also pointed to how geopolitics, mega-IPOs, and shifting investor sentiment can quickly change market conditions. This matters for India because overseas risk appetite and global equity volatility affect both valuations and timing. Even when domestic demand is strong, a risk-off phase can force issuers to delay launches.

India led global IPO rankings in 2025, EY said

EY said India topped global IPO rankings in 2025, outpacing the US and China. It reported $11.8 billion raised, calling it a historic high. That base is important because 2026 expectations are being framed against an already strong year. A continuation of that pace would keep India among the most active primary markets globally. The same report flagged EMEIA as having strong pipelines and access to capital, with India producing several candidates that could come to market in the near term.

FY27 begins with a large backlog, Equirus says

Shah said India’s IPO market is entering FY2026-27 with one of the strongest structural backlogs seen in decades, even as FY26 closes with near-term moderation driven by global volatility and valuation resets. He said Equirus continues to see a robust pipeline with “150+ companies” lined up across sectors to raise between ₹2.5 lakh crore and ₹4 lakh crore. He also said the new financial year will be less about volume and more about quality, scale, and pricing discipline. Shah expects FY27 to raise around $10 billion in capital, depending on market circumstances. He flagged geopolitical tensions and FPI inflows as key risks that could delay timing, but not derail the pipeline.

SEBI approvals point to a busy launch calendar

The IPO pipeline for FY27 includes a large number of issuers at different approval stages. The article said SEBI has approved 144 companies to raise around ₹1.75 lakh crore. Another 63 companies aiming to raise ₹1.37 lakh crore are still awaiting SEBI’s nod. This creates a broad launch queue that can be tapped when volatility eases and valuations stabilise. It also implies that market throughput, not intent, becomes the binding constraint, particularly if many companies cluster around the same windows.

What the 2026 run-rate already shows

So far in 2026, 18 companies have launched IPOs, with eight issues hitting the market in March alone despite volatile market conditions and geopolitical tensions. For FY26, approximately 112 firms raised ₹1.79 lakh crore through main board IPOs for the financial year ending in March, the article said. While the IPO pipeline is building, overall fundraising in the capital markets declined 18 percent, to ₹3.05 lakh crore in FY26 from ₹3.71 lakh crore in FY25. The decline was attributed largely to lower mobilisation through follow-on public offerings (FPOs) and qualified institutional placements (QIPs). This split is important because it shows IPOs can remain resilient even when other equity fundraising channels soften.

Big names in the 2026 pipeline and the $15 billion talk

The article cited multiple high-profile candidates in the 2026 pipeline, including Reliance Jio, Zepto, and the NSE, with Goldman Sachs forecasting proceeds could hit $15 billion. It also mentioned marquee names such as PhonePe, Flipkart, OYO, and SBI Mutual Fund as offerings being watched. Citi said it expects IPO issuance in the range of $15-20 billion in 2026, even if it is too early to name transactions. Nipun Goel, President at IIFL Capital Services, said IPO fundraising is likely to exceed last year’s $10 billion haul, while noting that early months were subdued amid geopolitical and tariff uncertainty. Goel also said “activity tends to be lumpy,” and issuance could accelerate meaningfully once volatility eases.

Key figures at a glance

Note: For comparability, USD amounts are also expressed using the article-stated reference of $10 billion ≈ ₹1.78 lakh crore. Where no INR equivalent was provided, the same ratio is applied only as a presentation aid.

Market impact: why the pipeline narrative matters

A pipeline of this size changes how investors and intermediaries think about supply in the secondary market. If several large deals come in a short window, pricing discipline becomes a central issue, which Shah explicitly flagged. The same pipeline can also create competition for liquidity across IPOs, especially when execution windows are brief. On the other hand, the article pointed to resilient primary-market participation even when foreign investors were cautious in the secondary market. That resilience, alongside a deepening domestic investor base, is why multiple institutions are comfortable calling for $15-20 billion, $10 billion, or even $15 billion in 2026 proceeds.

Risks highlighted by dealmakers

Shah’s risk markers were clear: geopolitical tensions and the trajectory of FPI inflows. EY also framed geopolitics and shifting investor sentiment as determinants of IPO windows. These risks do not necessarily reduce the number of willing issuers, but they can compress timelines and increase postponements. That is why the same story can include both “subdued” periods and bursts of issuance, such as the cluster of eight IPOs in March 2026.

Conclusion: FY27 sets up as a quality-led IPO year

Across Equirus, Citi, and IIFL commentary, the direction is consistent: India’s IPO market is expected to remain active, with outcomes likely driven by a few large listings and disciplined pricing. The SEBI approval pipeline and the number of draft documents filed indicate strong issuer intent. The near-term variable is the stability of market conditions that allows issuers to use short windows effectively. Attention is now shifting to how quickly approvals convert into launches and whether the expected mega IPOs reach the market within 2026 and early FY27.