SEBI Approves 7 IPOs Including Meesho & Shiprocket, Signaling Strong Revival in India’s IPO Market

India’s IPO market is witnessing renewed energy as the Securities and Exchange Board of India (SEBI) clears seven new initial public offerings, including leading names like Meesho and Shiprocket. These approvals mark a significant resurgence in primary market activity and highlight growing investor confidence in Indian equities. This article breaks down SEBI’s approvals, the companies involved, their IPO structures, and what this momentum means for issuers and investors in 2025.

1. SEBI Clears Seven IPOs: What It Means for the Market

SEBI has issued official observations to seven companies that filed their Draft Red Herring Prospectuses (DRHPs) between May and July 2025. The approvals were granted between October 14 and October 31, marking a major step toward their public listings.

This regulatory clearance allows these companies to launch IPOs within a specific time frame—one year for public filings and 18 months for confidential filings.

Why This Matters

• Investor Confidence: Reflects a resurgence in issuer and investor faith in Indian capital markets.

• Stronger Pipeline: Expands the upcoming IPO list with high-value names.

• Increased Transparency: Provides investors with visibility into upcoming public issues.

2. Key Companies Approved for IPO

SEBI’s recent approvals span diverse sectors—from e-commerce and logistics to steel, plastics, and energy solutions. Below is a detailed look at each company and its IPO structure.

Company

Business Model & Investors

IPO Details

Meesho

Bengaluru-based budget e-commerce platform backed by SoftBank, Peak XV, and others.

Fresh issue of ₹4,250 crore + OFS of ~17.57 crore shares.

Shiprocket

Logistics and e-commerce enabler backed by Temasek, Zomato, and Lightrock.

Issue size around ₹2,000–₹2,500 crore (Fresh + OFS).

Skyways Air Services

Delhi-based air freight and logistics firm.

Fresh issue of ~3.29 crore shares + OFS 1.33 crore shares.

German Green Steel & Power

Gujarat-based green steel manufacturer integrating wind and solar power.

Fresh issue ~₹450 crore + OFS by promoters.

Rajputana Stainless

Stainless steel manufacturer focused on capacity expansion and debt reduction.

Fresh issue of ~1.46 crore shares + OFS ~62.5 lakh shares.

Manika Plastech

Mumbai-based rigid polymer packaging solutions provider.

Fresh issue ~₹115 crore + OFS ~1.5 crore shares.

Allied Engineering Works

Delhi-based smart energy meter producer.

Fresh issue ~₹400 crore + OFS ~75 lakh shares.

3. Timing and Filing Routes

Among these firms, Meesho and Shiprocket have used SEBI’s confidential pre-filing route, allowing up to 18 months before their IPOs hit the market.
The remaining five opted for the public filing route, giving them a one-year window to launch.

Timeline of IPO Approvals

• May 2025: DRHP filings begin.

• July 2025: Filing period concludes.

• October 14, 2025: SEBI issues observation for Meesho.

• October 20, 2025: Green Steel and others receive approvals.

• October 31, 2025: Shiprocket and Skyways receive final clearance.

4. Why the Sudden Wave of IPO Approvals?

The surge in SEBI approvals isn’t coincidental—it aligns with improving market dynamics and policy-driven momentum.

Key Drivers Behind the IPO Surge

1. Bullish Market Sentiment:
   India’s stock markets have rebounded strongly, drawing in domestic and global investors.

2. Maturing Startup Ecosystem:
   Late-stage tech startups like Meesho and Shiprocket are ready to unlock value through public listings, signaling maturity in India’s tech and logistics sectors.

3. Proactive Regulatory Approach:
   SEBI is facilitating smoother, faster approvals to maintain liquidity in capital markets.

4. Sectoral Diversity:
   The mix of e-commerce, logistics, energy, and manufacturing IPOs highlights India’s economic breadth and resilience.

5. What Investors Should Monitor Before Investing

While the approvals are positive, investors should assess several key factors before subscribing to these upcoming IPOs.

5.1 Offer Details and Valuation

Detailed financials, including price bands, lot sizes, and fresh issue vs OFS mix, will be disclosed in the RHP (Red Herring Prospectus).

• Meesho plans to allocate funds toward cloud infrastructure, AI/ML expansion, marketing, and strategic acquisitions.

• Manufacturing and logistics players like Rajputana and Shiprocket will likely use proceeds for capacity enhancement and debt repayment.

5.2 Market Timing and Volatility Risks

Even with SEBI approval, IPOs may be delayed or repriced depending on market conditions. Volatility in equity markets, changes in interest rates, or global shocks could affect valuations.

5.3 Sector-Specific Risks

• E-commerce (Meesho): Faces margin compression and high competition.

• Logistics (Shiprocket, Skyways): Capital-intensive and dependent on trade volumes.

• Manufacturing: Exposed to raw material inflation and regulatory fluctuations.

5.4 Offer-for-Sale (OFS) Implications

While large OFS components improve free float, they can pressure post-listing prices if early investors exit aggressively.

6. Broader Impact on India’s IPO Ecosystem

The latest approvals position India for another robust IPO cycle similar to 2021–22.

Positive Ripple Effects

• Expanding IPO pipeline attracts global investors.

• Increased liquidity strengthens capital markets.

• Success of marquee listings could inspire more startups to go public.

Potential Headwinds

If macroeconomic conditions tighten or investor sentiment weakens, the current IPO window might shorten rapidly.

7. Summary & Outlook

SEBI’s approval of seven IPOs—headlined by Meesho and Shiprocket—signals renewed vigor in India’s primary markets. This wave reflects regulatory efficiency, issuer confidence, and strong investor appetite.