‘Going Public Isn’t Just About Raising Funds’ Harsh Goenka On IPO’s Sobering Story

Feb 22, 2025 Business Desk

Out of 23 startup IPOs, only 7 trade above their listing price, averaging a 69% gain, while 16 trade below, averaging a 35% decline. Source: Pexels

Zaggle surged 117% above its IPO price, Zomato delivered a 102% return, and EaseMyTrip gained 86%, proving investor trust in select digital businesses. Source: R Business

IdeaForge tumbled 69%, Paytm dropped 61%, and Nykaa lost 50%, reflecting weak market confidence in their post-IPO performance. Source: R Business

Regulatory actions by RBI on Paytm Payments Bank led to a massive stock decline, wiping out over Rs 50,000 crore in market value. Source: X

Nykaa stock plunged 50% with stagnant growth. However, it witnessed a 61% jump in Q3 profit after tax to Rs 26 crore while its revenue from operations rose 26.7% YoY. Source: X

Ola Electric (-19%), Unicommerce (-49%), and FirstCry (-36%) saw tepid investor interest, signaling caution towards high-valuation startups. Source: Ai generational

Of the 23 IPOs, only a handful maintained investor trust, as hype-driven valuations gave way to fundamental-driven corrections. Source: pexels

Investor sentiment is shifting towards startups with profitability and sustainable growth models rather than aggressive expansion strategies. Source: pexels

"Markets eventually correct hype, but fundamentals remain"—Harsh Goenka’s analysis shows the importance of financial discipline in startups. Source: pexels

The next wave of IPOs must focus on strong financials, regulatory compliance, and long-term business viability to regain market confidence. Source: Pexels