Promoters made less money from listing firms so far in 2026
Promoters and venture capitalists of companies that listed in the stock market up to the first week of July 2026 have earned a lower share in the total offer for sale component than last year. The share of owners or founders of the companies along with private equity or venture capitalists, the early investors in the company, reduced to 84% of the total offer for sale proceeds to ₹10696 crore , according to an analysis of IPO data up to July 8 2026, sought from primedatabase.com. This share was 95.5% in the same six month period of calendar year 2025, 94% in 2023 and 68% in 2024, the lowest among the last four years. Initial Public Offering is the process by which companies that are privately held list in the market, effectively becoming “public limited.” The shares of these companies are then bought and sold by investors in the stock market. In that process, companies can raise money from new investors, called fresh issues, or by existing investors like the owners selling part of their shares to the public. While the former may go into the use of developing the company, the latter, called offer for sale, goes into the pockets of the sellers. Exit route albeit a less intense one Large investors and market observers criticised this to be a wealth transfer from retail investors to large company owners, and that private equity funds were basically using the IPO market to exit the company, rather than helping it raise productive capital. For context, the Knight Frank report , a property consultant, said in its report that the IPO boom and the new wealth created out of it drove luxury real estate demand last year. The criticism came from as high as the Chief Economic Advisor to Government of India V Anantha Nageswaran, where he called out P/E and VCs, for making listing as an “exit route.” Owners and early investors took home just half of the ₹12783 crore that was garnered from the market up to July 2026. This share was much higher in 2023, when 73% of the IPO proceeds……