NSE, Jio IPOs Signal Potential Revival for India's Primary Market
India's initial public offering (IPO) market has witnessed a sluggish start in 2026, following record-breaking activity over the previous two years. Weak market sentiment and geopolitical uncertainty arising from the ongoing war in West Asia prompted many companies to postpone their fundraising plans.
However, the landscape may be shifting. Over the last week, two long-awaited mega-IPOs — the National Stock Exchange (NSE) and Jio Platforms — were announced. Simultaneously, oil prices declined significantly after the United States and Iran reached an interim peace agreement. Experts believe these developments could improve market sentiment and revive primary market activity.
According to data, around Rs 3.5 lakh crore to Rs 4 lakh crore of IPOs are currently in the pipeline. Geopolitical stability and the return of foreign investors are considered crucial for a rebound in the second half of the year. Foreign investors have sold $28.4 billion of Indian equities since the war began but have turned net buyers in recent sessions.
“The global environment has improved due to the resolution of the US-Iran conflict, and crude oil prices have come off, thereby leading to ease in concern on inflation, deficit, USD/INR, and earnings growth prospects. This is the biggest sentiment booster for equity market sentiments and hence the rest of the year can witness revival in primary market activity,” said the head of research at a domestic broking firm. The benchmark Nifty 50 and Sensex indices have gained around 1% since the peace agreement, and are now down just about 4% from pre-war levels, compared to a drop of over 11% at their lowest.
The NSE and Jio IPOs could also boost foreign institutional investor (FII) participation. “It could also revive FII participation. FIIs have been a large contributor in the IPO space. I am reasonable that these IPOs could revive the overall sentiment in the broad market itself,” said A Balasubramanian, managing director and chief executive at Aditya Birla Sun Life AMC.
Prime Database data shows that as of May 2026, 236 mainboard IPOs worth about Rs 3,49,304.32 crore were in the pipeline. “This strong pipeline signals an acceleration in investment banking activity, though actual launch windows remain subject to geopolitical tensions,” said Sumeet Lath, co-head of equity capital market execution at Anand Rathi Advisors. He added that mega-IPOs like Reliance Jio, NSE, SBI Mutual Fund, Zepto, PhonePe, and Flipkart are set to raise over Rs 1 lakh crore from just six issues.
Nevertheless, some experts caution that the secondary market must remain stable. “The issue is not on the supply side. Issuers are in a wait-and-watch mode to see how things progress. For IPOs to happen, you need at least a stable, if not buoyant, secondary market,” said Pranav Haldea, managing director at Prime Database. Many companies are filing papers to secure regulatory approvals so they can launch quickly when conditions improve.
So far in 2026, 22 companies have completed mainboard IPOs, raising over Rs 20,663 crore. The largest was the Rs 3,100-crore issue of a renewable energy producer. While the market remains cautious, the combination of mega-IPO announcements and easing geopolitical tensions offers a glimmer of hope for a revival.
