India’s $50 billion worth of IPOs at risk

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India, one of the world’s most prolific IPO markets, was gearing up for issues worth $50 billion as tension in the Middle East were subsiding. But U.S. President Donald Trump’s decision to end the ceasefire with Iran on Wednesday poses a major risk to the multiple large IPOs lined up in India.

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After a slow start in 2026, India, one of the world’s busiest markets for public listings, was gearing up for a deluge of stock market offerings worth $50 billion. Plans for multiple large IPOs were announced last month after tensions in the Middle East simmered down.

But U.S. President Donald Trump’s decision on Wednesday to end the ceasefire with Iran has put these listing plans at risk. Indian markets slumped more than 2%, reacting to Trump’s announcement, underscoring the growing significance of geopolitical risks in global financial markets.

The relative lack of artificial intelligence-related stocks in India combined with the macroeconomic stress due to the Middle East conflict has already led to a muted performance of Indian equities this year.

“IPO activity could accelerate in the second half of the year if secondary market conditions improve,” Hari Shyamsunder, vice president and senior institutional portfolio manager of India Equities at Templeton Global Investments, told CNBC.

IPO issuances would be driven by the “market’s ability to absorb new offerings,” he added. 

Companies in the U.S. have already raised $128 billion by June across 72 initial public offerings, while those in Hong Kong saw 84 listings raise $27 billion, according to an EY report released on Tuesday.

In sharp contrast, IPOs in India have raked in just $4 billion in proceeds through 102 issues, many of which are not listed on the main stock exchange but rather the one for small-and-medium-sized companies. During the first six months, just 31 companies listed on the main exchange, raising just 244 billion rupees ($2.6 billion), according to Mumbai-based IPO intelligence firm Prime Database.

This had been set to change.

Abhay Laijawala, chief investment officer for India at global…