More Promoters Use Offer-for-Sale Route to Sell Stake in 2025
In 2025, promoters increasingly use the offer-for-sale (OFS) route, which accounts for 65% of IPOs by value. Promoters represent 68.5% of the OFS value in IPOs issued during this period.
The share of OFS components in IPOs has been rising steadily each year as more companies enter the primary market. In 2025 (January-November), OFS portions make up nearly 65% of total IPO value, compared to 58% in 2023 and 59% in 2024, according to data from Prime Database analyzed by BusinessLine.
15.8% of IPOs issued in 2023 were entirely OFS without any fresh issue; this was 15.4% in 2024 and increased to 16.5% in 2025. This category includes major IPOs like Hyundai in 2024 and LG Electronics in 2025. Other top IPOs by value that were completely OFS across these years include Vishal Mega Mart, Mankind Pharma Ltd., Tata Technologies, WeWork India, Sagility India, Travel Food Services, Cello World, and Orkla India.
Promoters hold a significant portion within OFS offerings. Sellers can include promoters, large institutional investors, and others, but promoters accounted for 68.5% of the OFS value in IPOs issued in 2025, up from 52.8% in 2023.
"In 2025, promoters increasingly utilize the offer-for-sale route, with OFS making up 65% of IPOs by value."
"Promoters make up 68.5 per cent of the OFS (value) in the IPOs issued in 2025."
Author's summary: The offer-for-sale method is increasingly favored by promoters in 2025, with their stake sales dominating IPO values and showing consistent growth over recent years.