IPOs on Fire! Mutual Funds Pour Rs 5,294 Cr Into Ather, HDB, Schloss Bangalore, Others | Full List

As India's primary market is buzzing with multiple initial public offerings (IPOs), mutual fund houses are also betting big on IPOs. Mutual funds have allocated an estimated Rs 5,294 crore into IPOs during the quarter ending in June, especially small-cap companies, revealed stock broking firm Ventura's analysis.

The robust participation of the mutual fund industry in the IPO subscription was majorly focused in the small cap category, with only one categorised as mid cap. The mutual fund houses' diversion of funds to India's IPO market signifies a shift in trend from the secondary market to smaller, scalable businesses that have the potential to deliver superior returns over time.

According to Ventura's analysis, mutual funds allocated money in more than 5-6 small-cap IPOs and one mid-cap IPO. Ather Energy witnessed the maximum interest from mutual fund houses with an estimated allocation of Rs 1351 crore by mutual fund houses in the IPO. After Ather Energy, mutual funds had allocated a giant share of Rs 1311 crore in HDB Financial Services IPO.

Mutual Funds had also invested significantly in other IPOs, which opened with an above-average listing price like Schloss Bangalore, Aegis Vopak Terminals, Belrise Industries, Oswal Pumps, Ellenbarrie Industrial Gases, Kalpataru, Sambhv Steel Tubes, etc. The study has considered only companies with a market value above Rs. 20 crore.

How Much Have Mutual Funds Invested In IPOs In June?

New Entrants – IPO	Market Value (Rs. in crores) Held by Mutual Fund Schemes	Categorisation as per SEBI
Ather Energy	1351	Small Cap
HDB Financial Services*	1331	Mid Cap
Schloss Bangalore	679	Small Cap
Aegis Vopak Terminals	495	Small Cap
Belrise Industries	398	Small Cap
Oswal Pumps	387	Small Cap
Ellenbarrie Industrial Gases*	357	Small Cap
Kalpataru	241	Small Cap
Sambhv Steel Tubes*	55	Small Cap

IPO Market Revives In India

After a bumper IPO listing in 2024, the year 2025 started on a dull note for the primary market. Due to the stock market volatility and correction in the first five months of the year, there was a significant decline in IPO launches and listing initially. However, India's IPO market revived since March as multiple IPOs launched into the Indian stock market and witnessed a strong response from investors.

With the IPO market regaining momentum, there is anticipation that the primary market may see more IPOs in the coming months. As of now, only 79 IPO listings have been made in 2025; however, the IPO launches this year are way less than last year's tally of 131. The resurgence of the IPO market in 2025 is mainly driven by the SME and MSME sector IPOs.

The report also revealed that nearly 90% of the mutual fund schemes, evaluated in the survey, outperformed the Nifty 50 TRI, underlining the benchmark index's underperformance during the June quarter. However, only 41% of schemes outperformed their respective category benchmarks, indicating tighter competition and more selective alpha generation.