Indian startups opt for IPOs as funding is tight; some lower valuations

BENGALURU — A shortage of growth capital is driving Indian startups to the stock exchanges, with some pricing their initial public offerings lower than they did in recent funding rounds to attract investors.

Electric vehicle maker Ola Electric Mobility and insurer Go Digit General Insurance priced their IPOs at discounts of 22% and 13% from their last valuations, at $4.3 billion and $3.2 billion, respectively, when they went public on August 9 and May 23. Baby-care products seller FirstCry maintained its valuation at around $3 billion. Together, the trio accounted for 80% of the $1.92 billion that Indian startups raised through public offerings in 2024.