Summary of this article
Primary market raised a record Rs 1.68 lakh crore in September
IPO listings hit a record 70 as corporate debt placements surged
Sebi flagged volatility in SME IPOs despite strong listing gains
The primary market raised a record Rs 1.68 lakh crore in September 2026, driven by a surge in initial public offerings (IPOs) and a sharp rise in corporate debt placements, according to the Securities and Exchange Board of India’s (Sebi) October monthly bulletin.
Companies raised Rs 1,68,372 crore across equity issues, debt instruments and infrastructure investment trusts (InvITs), accounting for nearly 22 per cent of the total funds mobilised in the financial year FY27 so far. Public equity fundraising rose 41 per cent month-on-month to Rs 42,999 crore, while debt private placements nearly doubled to Rs 1,11,586 crore. Total debt fundraising, including public issues, reached Rs 1,12,873 crore, up 92 per cent from August.
The record fundraising came even as Indian equity markets faced a sharp correction. The Nifty 50 fell 6.1 per cent in September, while the BSE Sensex declined 5.8 per cent, amid foreign portfolio investor (FPI) outflows, rising US Treasury yields, higher crude oil prices and geopolitical tensions in West Asia.
IPO Activity Hits A Record High
September saw a record 70 IPO listings, comprising 32 mainboard issues that raised Rs 40,355 crore and 38 small and medium enterprise (SME) IPOs that mobilised Rs 1,684 crore. Rights issues raised another Rs 961 crore through 13 offerings, Sebi said.
Offer for sale (OFS) accounted for 75 per cent of the money raised through mainboard IPOs, meaning most of the proceeds went to existing shareholders selling their stakes. On the other hand, 94 per cent of the funds raised through SME IPOs came from fresh issues, providing capital to the companies themselves.
Private placements of equity moderated during the month. Companies raised Rs 10,023 crore through six qualified institutional placements (QIPs) and 83 preferential allotments, down 19.6 per cent from August.
Retail Interest And IPO Risks
Institutional investors had the largest share of subscriptions to mainboard IPOs. Qualified institutional buyers accounted for 37 per cent of subscriptions, followed by non-institutional investors at 28 per cent. Retail investors and other categories accounted for 17 per cent.
In the SME segment, retail individual investors accounted for 48 per cent of subscriptions, followed by non-institutional investors at 32 per cent.
Gurmeet Singh Chawla, managing director at Master Portfolio Services, said strong demand for IPOs reflected sustained investor engagement, with well-received issues continuing to attract oversubscription across investor categories.
“However, roughly half of this year’s listings are trading below their issue price, and investors have clearly taken note,” he said, adding that the pattern of subscriptions suggested a decline in speculative trading.
Sebi’s data showed that mainboard IPOs with subscription levels exceeding 120 times tended to record stronger listing-day gains, which reached as high as 76 per cent. SME IPOs showed greater volatility, with some issues recording strong listing gains despite relatively low subscription levels, Sebi said. The bulletin also noted that listing gains in several cases clustered around 90 per cent, partly due to regulatory limits on listing-day price movements.
