The Indian primary market continues to experience a prolonged slowdown as no mainline IPOs are slated for the upcoming week. This marks a continued dry spell in the larger IPO segment that has seen little to no action in recent months. The last company to tap the mainline IPO route was Quality Power Electrical Equipments, whose shares were listed on domestic exchanges on February 24, 2025.

Mainline Segment Remains Inactive

The mainline IPO segment has now been in a state of inactivity for over a month, and this trend will continue in the week ahead. There are no scheduled IPOs for subscription in the mainstream category, signaling that the primary market slump is yet to ease.

This lull stands in sharp contrast to the booming IPO activity in 2024, a year that saw over 300 IPOs across mainline and SME platforms, raising a record ₹1.71 trillion. In comparison, 2025 has started slowly, with only 10 mainboard IPOs raising about ₹15,983 crore so far.

SME Listings Offer Some Respite

Though the mainline market is quiet, the SME platform is expected to see some movement next week. A total of three companies are lined up for listing on the BSE SME platform:

• Retaggio Industries will make its market debut on Monday, April 7, 2025.

• Infonative Solutions and Spinaroo Commercial are expected to list on Tuesday, April 8, 2025, following the finalisation of their basis of allotment today.

These SME IPOs may offer short-term opportunities for retail investors, especially as market participants await larger offerings to return to the fold.

Market Sentiment Weighs on IPO Activity

The lack of IPO activity is not occurring in isolation. It reflects broader sentiment across the Indian capital markets. While 2024 witnessed bullish investor appetite, the sentiment in early 2025 is cautious.

The combination of elevated interest rates, geopolitical uncertainties, and muted secondary market returns appears to be deterring both issuers and investors from participating in new IPOs.

Secondary Market Mirrors IPO Lull

The secondary market is also reflecting this cautious mood. Benchmark indices like the BSE Sensex and NSE Nifty50 are currently trading nearly 12% below their all-time highs recorded in September 2024. So far in 2025, both indices have logged year-to-date declines of around 4%, further compounding the slowdown in investor sentiment.

This combination of weak primary and secondary market performance signals a broader cooling-off period in capital market activity after the aggressive bull run of the previous year.

Summary of Key Statistics:

What’s Next for Investors?

Investors should be prepared for continued low activity in large IPOs at least in the short term. However, SME IPOs may offer tactical trading opportunities, especially for those who can assess fundamentals and sentiment accurately.

Here’s what you can do:

• Track SME listings closely for short-term price action.

• Review fundamentals before investing, especially in SME companies, where volatility is higher.

• Keep an eye on upcoming IPO filings, which may indicate a return of mainline activity in mid-2025.

• Monitor secondary markets, as a sustained rebound in Sensex/Nifty could signal improving sentiment.

While 2024 was a blockbuster year for IPOs, 2025 has so far seen a sharp dip in both interest and activity in the primary market. The absence of mainline IPOs, coupled with modest action on the SME front, reflects a market grappling with macroeconomic uncertainty and weak investor appetite.

Until market conditions stabilise, the primary market drought may persist, and investors must rely on select opportunities in the SME segment or the secondary market for returns.

The Upcoming IPOs in this week and coming weeks are Aten Papers & Foam.

The Closed IPOs are  Infonative Solutions Limited, Spinaroo Commercial Limited,Retaggio Industries Limited.

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