Gem Aromatics (₹451 crore) and Glottis Ltd (₹307 crore) lead the list of draggers and trade 57 per cent and 54 per cent below the issue price.
The development has raised serious concerns about the high valuation amid excess liquidity chasing new-age businesses listing on the exchanges.
Of the 97 companies that tapped the market between January 1 and December 11, about 47 are trading below their issue price, according to data sourced from Geojit Financial Services. It raises huge concern, particularly when market experts have pointed to the aggressive pricing of IPOs.
With just little over three weeks to go for the year-end, India Inc has already crossed the overall fund raised in last year. In 2025, Corporate India has raised ₹1.83 lakh crore against ₹1.80 lakh crore raised through 92 issues in 2024.
Sriram BKR, Senior Investment Strategist, Geojit Financial Services, said investors should be watchful of the price and valuation at which IPOs are offered as nearly 30 IPOs have registered a listing day loss.
With over 45 issues still trading below issue price, he said it is very importance for investors to be selective when approaching IPOs, rather than going with an expectation of listing day gains or short term profits.
Gem Aromatics (₹451 crore) and Glottis Ltd (₹307 crore) lead the list of draggers and trade 57 per cent and 54 per cent below the issue price.
Among the leading corporates, JSW Cement (₹3,600 crore) and Kalpataru (₹1,590 crore) are trading 21 per cent and 16 per cent below the issue price.
IPO pipeline strong
As the secondary market attempts to stage a rebound even as geopolitical issues linger, the IPO pipeline appears robust at about ₹1.82 lakh crore for next year.
The potential offerings of Reliance Jio, NSE, Flipkart, SBI AMC, Hero Fincorp, PhonePe, Zepto, boat and Oyo underline the depth of supply and breadth across old and new economy sectors.
Sachin Jasuja, Head of Equities and Founding Partner, Centricity WealthTech, said given secondary-market multiples and strong domestic liquidity, stretched valuations in primary issuances are likely to persist rather than mean-revert quickly.
In marquee IPOs, he added upside post-listing will be more selective and earnings-delivery dependent, warranting a sharper focus on quality, cash flows and realistic growth assumptions.
Kamraj Singh Negi, MD and CEO-Investment Banking, Pantomath Capital, said investment bankers’ responsibility is to ensure that price discovery remains grounded in fundamentals—business scalability, margin visibility, cash-flow durability and governance maturity.
Both issuers and investors are now more calibrated in their expectations, and the market has demonstrated a clear preference for companies that balance growth narratives with financial prudence, he added.
Published on December 13, 2025
