LG Electronics, HDB dominate 2025 IPO pipeline
34 companies have already received approval from the SEBI for their IPOs in 2025
Indian bourses are set to complete a stellar year in 2024, during which 317 initial public offerings (IPOs) raised INR 1.8 trillion, a 2.6-fold increase from 2023, aaccording to a report by Motilal Oswal. The initial public offerings spanned a diverse range of sectors, from technology to infrastructure, reflecting a broad investor appetite.
As we move into 2025, the outlook remains promising. As per reports, 34 companies have already received approval from the Securities and Exchange Board of India (SEBI) for their IPOs, collectively aiming to raise INR 414.6 billion. Additionally, 55 more firms are in the pipeline, waiting for regulatory clearance, with a combined target of raising INR 986.7 billion.
This surge in IPO activity signals a robust market, with several high-profile listings anticipated. Among the biggest IPOs set for 2025 are major players in diverse sectors such as technology, fintech, infrastructure, and consumer goods, including some well-established brands that are expected to make significant waves.
LG Electronics India
A subsidiary of the South Korean conglomerate and a common household name in India for electronics and electrical appliances, LG Electronics India is planning to launch an IPO in the first half of 2025.
The company has already filed a Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) earlier this month. LG plans to sell as many as 101.82 million shares which is about 15 pc of LG Electronics India’s post-offer paid-up equity share capital.
According to reports, LG Electronics also aims to raise approximately INR 149.4 billion in a planned listing in Mumbai next year after initial feedback from analysts and investors.
Reports also state that the electronics conglomerate is all set to begin a formal roadshow for LG Electronics India IPO within the next two months.
HDB Financial Services (HDB)
HDB Financial Services (HDB), a subsidiary of HDFC Bank, is gearing up for INR 125 billion initial public offering, set to become one of the largest ever by a non-banking financial company (NBFC) in India.
The offering will consist of a fresh issue of equity shares worth INR 25 billion, along with an offer for sale (OFS), where HDFC Bank, the promoter of HDB, will divest a stake worth INR 100 billion.
The IPO is part of HDB’s effort to comply with the Reserve Bank of India (RBI)’s directive that NBFCs in the upper layer category must list on stock exchanges.
Zepto
Quick commerce giant, Zepto is also set to join the upcoming slew of initial public offerings in 2025. Zepto’s valuation is expected to be significant, likely in the range of INR 124.4 billion – INR 166 billion, based on its market position and expansion plans.
The quick commerce company has also raised significant funds in previous rounds and has been expanding its operations aggressively across India, focusing on hyperlocal deliveries in cities with high-density populations.
The IPO is said to follow suit of other giants such as Swiggy and Zomato, tapping into India’s rapidly growing e-commerce and logistics market, which has become increasingly attractive to investors.
Ecom Express
The Ecom Express, a logistics firm backed by Warburg Pincus, a leading private equity firm, focussed on online deliveries is all set to be listed on the Indian stock exchanges. The company has already filed its draft papers, with its listing on the NSE and BSE anticipated in the first week of January 2025.
The expected price band is INR 250 per share with the total issue size expected to be INR 26 billion.
The upcoming initial public offering marks an important milestone for the logistics sector, especially in the online delivery space. The lot size of the IPO is yet to be announced.
Bluestone
Bluestone Jewellery and Lifestyle, a Bengaluru-based jewellery retailer, filed for an initial public offering (IPO) with the Securities and Exchange Board of India (SEBI) on December 11, 2024.
The upcoming initial publish offering is expected to price the issue at a valuation of INR 120 billion-INR 130 billion, which is more than 50 pc higher than its valuation in August and raise 10 billion through a combination of a fresh issue of shares and an offer for sale (OFS).
Other big companies, expected to file for IPOs in 2025 include Tata Passenger Electric Mobility Limited (TPEML), a subsidiary of Tata Motors known for models like the Nexon EV and Tiago EV and Indira IVF, a subsidiary of Stockholm-based investment firm, EQT AB.
