2026 IPO Market May Break the IPO Record for the Third Year in a Row

In 2024, India raised ₹1.90 trillion through 336 IPOs, setting a new record for capital mobilisation. In 2025, the market broke this record again, with 365 IPOs raising ₹1.95 trillion.

This record-breaking trend may continue in 2026 with an expected mobilisation of ~₹2.5 trillion via over 190 IPOs. However, the question for investors is, “Are any of these IPOs worthy of attention?”.

1. Shadowfax Technologies

The company filed an Updated Red Herring Prospectus (UDRHP) with SEBI for a ₹2,000 Cr. IPO, including a:

• Fresh issue: ₹1,000 Cr.
  
• Offer for Sale (OFS): ₹900 Cr.
  

Shadowfax is backed by Flipkart, Mirae Asset and Eight Roads Ventures and is targeting a valuation of ₹8,500 Cr. For the OFS, these backers, plus others, will take a partial exit; however, founders are not selling, showcasing promoter trust.

What Makes the Shadowfax Technologies IPO Noteworthy?

The numbers say it all:

• Shadowfax managed to turn a net loss of ₹11.9 Cr. in FY24 to a net profit of ₹6.4 Cr. in FY25.
• Revenue from operations rose to ₹2,485 Cr. in FY25 from ₹1,884 Cr. in FY24.
• EBITDA jumped to ₹561.9 Cr., and H1 FY26 profit hit ₹21 Cr., underscoring a clear profitability rebound ahead of listing.

However, with key risks such as several structural challenges highlighted in the updated DRHP, and with three-fourths of its revenue coming from a few select e-commerce and quick-commerce clients, it may not be a risk-free IPO.

2. Milky Mist Dairy Food

SEBI has given its approval to Milky Mist Dairy Foods to raise ₹2,035 Cr. through IPO, including a:

• Fresh issue: ₹1,785 Cr.
• Offer for Sale (OFS): ₹250 Cr.

Sathishkumar T. and Anitha S. (promoter shareholders) will be selling off their stake for the OFS. Additionally, there is a possibility for a pre-IPO placement of up to ₹357 Cr., which, if exercised, could reduce the fresh issue size.

What Makes the Milky Mist Dairy Food IPO Noteworthy?

Apart from being one of India’s fastest-growing packaged food companies. Milky Mist Dairy Foods also shows strong financials:

• Revenue increased from ₹1,821.6 Cr. in FY23 to ₹2,349 Cr. in FY24.
• Net profit saw a growth of 134% to ₹46 Cr in FY24.

Additionally, the company also showed an EBITDA margin of 13.2%.

Potential risks may arise from unfixed input costs, over-reliance on a small distribution network, and the company’s complete dependence on its Perundurai plant, which might leave it without a backup in case of any disruptions.

3. Hero FinCorp Limited

Hero FinCorp Limited, the Hero MotoCorp Group-owned Non-Banking Financial Corporation (NBFC), is making its stock market debut.

Initially, the IPO size stood at ₹3,668.13 Cr., including an:

• Fresh issue: ₹2,100 Cr.
• Offer for Sale (OFS): ₹1,568.13 Cr.

What Makes the Hero FinCorp Limited IPO Noteworthy?

The company’s financials reflect growth potential:

• Its Assets Under Management (AUM) stood at ₹51,820.81 Cr. as of March 2024.
• It has an impressive customer base of 11.80 million

However, the Indian financial services industry is highly competitive, which may pose a potential risk to future growth.

4. National Stock Exchange (NSE)

The long awaited NSE IPO is still waiting for SEBI approval. However, SEBI Chairman Tuhin Kanta Pandey said, “We will soon issue a NOC (no objection certificate) to NSE, and after that they will start preparation”.

The NSE had initially filed its Draft Red Herring Prospectus (DHRP), in December 2016. It was reported to raise ₹10,000 Cr. The issue was expected to be an offer-for-sale of around 23% stake by existing shareholders including:

• Tiger Global Management
• Aranda Investments
• SAIF Partners (now Elevation Capital)
• Norwest Venture Partners
• Citigroup Strategic Holdings
• Goldman Sachs
• State Bank of India

What Makes the National Stock Exchange IPO Noteworthy?

In 2024, NSE became the highest valued unlisted company in India, with a valuation of ₹4.7 lakh crore.

• It is one of the top 10 stock exchanges by market capitalisation in the world.
• Has recorded ~22.3 Cr. total investor accounts as of May 2025.
• Reported revenue of ₹19,177 Cr. and EBITDA of ₹12,187 Cr. in FY25.

However, prolonged regulatory scrutiny and pending legal issues related to corporate governance failures, the very reason NSE stayed private for nearly a decade, could still pose a risk in the future.

5. Zetwerk Manufacturing Businesses Private Limited

Zetwerk Manufacturing Businesses Private Limited is an Indian contract manufacturer. It is planning to issue an IPO, potentially raising $750 million. The issue is expected to be a mix of new and existing shares.

Note: the company has not yet filed its Draft Red Herring Prospectus (DRHP); it is expected to file via the confidential filing route in 2026. What Makes the Zetwerk Manufacturing Businesses Private Limited IPO Noteworthy?

The company is backed by reputed investors like Lightspeed and Peak XV Partners. There is a rising demand from the energy and power segment; the company is expected to close FY26 with a revenue of over $2 billion. With strong investor backing and financials, the Zetwerk Manufacturing Businesses Private Limited IPO is worth keeping your eye out for.

Looking Ahead

2026 may turn out to be another active year for IPOs in India. While the pipeline looks strong on paper, not every listing might deserve attention. Investors may need to focus on business quality, financials, and long-term visibility rather than just headline numbers.