Explore the top companies preparing to go public and what it means for investors and the stock market
India’s startup ecosystem is poised for a significant surge in initial public offerings (IPOs). With a robust pipeline of companies across various sectors preparing to go public, 2025 is set to be a landmark year for Indian startups entering the public markets.
Fintech Leaders Eyeing Public Listings
The financial technology sector continues to lead the charge, with several prominent players planning their IPOs:
PhonePe: Backed by Walmart, PhonePe has initiated preparations for its stock market debut. Founded in 2016, the company achieved profitability in the fiscal year 2024, reporting a consolidated profit of ₹1.97 billion and a revenue surge of 74% to over ₹50 billion. With a dominant 48.4% share in India’s Unified Payments Interface (UPI) transactions as of January 2025, PhonePe’s extensive user base of over 590 million positions it favorably for a successful public offering.
OfBusiness: This SoftBank-backed enterprise procurement platform plans to raise up to $1 billion through its IPO in late 2025. The company has appointed major investment banks, including Axis Capital, Morgan Stanley, and JPMorgan, to manage the offering. In the fiscal year ending March 2024, OfBusiness reported an after-tax profit of $72.6 million on revenue of $2.3 billion, underscoring its financial robustness ahead of the listing.
Pine Labs: A prominent merchant commerce platform, Pine Labs is among the fintech firms gearing up for an IPO in 2025. The company aims to capitalize on its extensive network and technological solutions that cater to merchants across India.
Consumer-Focused Startups Entering the Fray
Several consumer-oriented startups are also slated for public listings:
Zepto: A quick commerce startup, Zepto has rapidly gained traction in the Indian market. The company is preparing for its IPO in 2025, aiming to raise capital to expand its operations and market reach.
boAt: Known for its audio and wearable technology products, boAt is planning an IPO to fuel its growth and innovation in the consumer electronics sector. The company has established a strong brand presence and aims to leverage public funding to enhance its product offerings.
Ather Energy: An electric vehicle manufacturer specializing in electric scooters, Ather Energy filed a draft red herring prospectus with SEBI in September 2024 for a ₹4,500 crore ($536.2 million) IPO. The company plans to issue new shares worth $370 million, with existing investors offering up to 22 million shares.
Diverse Sectors Joining the IPO Wave
The IPO momentum extends beyond fintech and consumer startups:
Awfis: A co-working space provider, Awfis filed its draft red herring prospectus with SEBI in December 2023 and successfully listed on NSE and BSE in May 2024. The company operates in 16 cities across India, offering flexible workspace solutions to a diverse clientele.
Onix Renewable: Specializing in renewable energy solutions, Onix Renewable announced plans to launch an IPO by the end of 2024 to support its green energy projects. The company focuses on solar and wind energy projects, contributing to India’s sustainable energy goals.
Good Glamm Group: A content-to-commerce conglomerate in the beauty and personal care industry, Good Glamm Group achieved unicorn status in 2021. The company announced plans to launch an IPO, aiming to replicate the success of other beauty tech firms in the public markets.
Market Outlook and Investor Sentiment
The anticipated surge in IPOs reflects the maturation of India’s startup ecosystem and investor confidence in the growth prospects of these companies. In 2024, the National Stock Exchange (NSE) witnessed a record 268 IPOs, raising approximately ₹1.67 lakh crore ($19.5 billion), positioning India ahead of global peers in terms of IPO proceeds. This trend is expected to continue in 2025, with a diverse array of startups tapping into public markets to fuel their expansion plans.
However, market participants should exercise caution, as the performance of newly listed companies can vary. While some startups have delivered robust returns post-IPO, others have faced challenges in meeting investor expectations. Comprehensive due diligence and a clear understanding of each company’s financial health and market positioning are essential for potential investors.
In summary, 2025 is poised to be a transformative year for Indian startups, with a significant number of companies across various sectors preparing to enter the public markets. This wave of IPOs not only offers investment opportunities but also signifies the coming of age of India’s dynamic startup landscape.
