How is the 2025 IPO Boom Influencing Private Equity Strategies? An AgileIntel Perspective

In 2025, global equity markets experienced a decisive turnaround. Following years of pandemic aftershocks, inflation, geopolitical volatility, and restrictive monetary policy, the third quarter saw a strong resurgence in initial public offerings. This revival has reinvigorated capital markets and expanded exit opportunities for private equity firms. The IPO rebound signals a new phase for dealmakers and entrepreneurs worldwide. 

The IPO Rebound: Structural Recovery Shaping Market Sentiment 

Global IPO activity rose sharply in Q3 2025, with deal volume and funds raised reaching their highest levels before the pandemic. The US recorded its strongest quarter since 2021, while India led globally in both IPO count and proceeds. 

Key catalysts behind this recovery include:  

• Monetary loosening: Central banks in major economies have pivoted toward lower interest rates to counteract growth slowdowns and stabilise credit conditions, making IPO financing more attractive. 
  

• Corporate performance resilience: Earnings growth in leading sectors, technology, manufacturing, and energy transitions has provided underpinnings for more confident valuations. 
  

• Reduced volatility: With geopolitical risks re-priced and inflationary threats cooling, institutional investors have returned to public equities, driving robust order books and post-listing performance. 
  

This is not a fleeting rebound; it represents a recalibration of risk and appetite in global markets, with real implications for private capital managers eyeing liquidity events. 

Private Equity Exits: Strategic Pathways Emerge 

The newfound momentum in IPOs offers a welcome alternative for the private equity sector after years of muted exit activity and increasing pressure from limited partners to deliver distributions. The opening of public listing avenues has produced several notable effects. 

• More options for high-quality assets: PE-backed companies with strong technology and recurring revenue models have found renewed interest from public investors. As a result, the number and value of PE-backed IPOs have more than doubled year-on-year in key markets.  
  

• Valuation normalisation: With public market multiples recovering from 2022–2024 lows, sponsors can again benchmark against fairer comparables, aiding both IPO pricing discussions and negotiation leverage in dual-track sale processes. 
  

• Selective, not uniform, opportunities: Importantly, this rebound does not extend to all portfolio companies. The bar for IPO readiness remains high, focusing on growth, profitability, and differentiation. 
  

Despite these advances, the bulk of PE exits in 2025 have remained weighted toward trade sales and secondary buyouts. Corporate strategists, especially in consolidating sectors like financial services and industrials, have continued to outbid or outpace public market solutions, citing execution speed and strategic fit. 

Success Stories: Exemplary IPOs and PE Exits in 2025 

To illustrate the full scope of this year's trends, here are three case studies of companies that achieved transformational exits through IPOs: 

Urban Company – India's Tech IPO Blockbuster 

Urban Company, a leading home services tech platform, launched one of India's most sought-after IPOs. The issue was oversubscribed 103 times, demonstrating immense investor enthusiasm. Raising US$210 million, Urban Company debuted at a 57.5% premium to its issue price. Early PE investors like Accel and Prosus executed partial exits, generating healthy returns. The company's robust financial performance, technology investments, and a strategy centred on scaling cloud-based service delivery powered the IPO's success.  

This listing spurred confidence in India's startup ecosystem, prompting more late-stage tech ventures to accelerate their IPO timelines. Urban Company's journey shows how a sound equity story and favourable market conditions can deliver outsized value for founders and PE sponsors.  

Medline Industries – A US Healthcare Mega Exit 

Medline Industries' 2025 IPO marked a watershed moment in US healthcare. The firm raised over US$5 billion and was valued at US$50 billion post-listing. Medline's backers, including Blackstone, Carlyle, and Hellman & Friedman, exited minority stakes profitably via the IPO. The sponsors originally invested during sector tumult, then engineered operational efficiencies and growth through acquisitions. By Medline's public debut, the business had become a model of resilience and scale, aligning perfectly with public investors' preference for defensive, growth-oriented companies. Medline's IPO showcased how patient, hands-on PE sponsorship combined with opportunistic timing can yield industry-leading exits when market sentiment turns positive. 

Ather Energy – New Mobility IPO Leadership in India 

Backed by Hero MotoCorp, GIC, and Tiger Global, Ather's IPO raised INR 3,100 crore, with the offering oversubscribed by over 1.4 times. The listing augmented the balance sheet strength for ambitious R&D and manufacturing plans while enabling early investors to realise gains partially. Ather's commitment to product innovation and operational discipline brought sustained revenue growth and reduced losses, fueling confidence despite intense competition in EV markets. Their experience highlights how IPO markets reward innovation and sector leadership, providing a blueprint for next-generation exits in Asia's dynamic capital landscape. 

Regional and Sectoral Opportunities: India and Global Markets in Focus 

 

India's rise as the most active global IPO market represents one of the signature trends of 2025. Supported by ample domestic liquidity, progressive reforms, and an innovation-driven SME sector, India has set a new benchmark for IPO vibrancy and resilience. In parallel, European markets are beginning to recover as regulatory enhancements improve competitiveness. The US and China remain prime destinations for large technology and consumer deals. 

From a sectoral perspective, IPO and M&A interest has coalesced around technology, artificial intelligence platforms, renewable energy, and digital infrastructure. Companies that can align their business models with these prevailing trends, demonstrate consistent resilience, and communicate a distinctive growth narrative are reaping premium valuations, whether they pursue public or private market exits. 

Consultancy Perspective: Implications and Recommendations 

For clients navigating this climate, several priorities should guide strategic planning: 

• Adopt a rigorous IPO readiness program. This includes investments in governance, operational transparency, investor relations, and ESG disclosures. Dual-track exit planning remains best practice, maximising both value and flexibility. 
  

• Enhance portfolio management rigour. Use improved market signals to reassess valuations, recalibrate exit timelines, and structure staggered or hybrid exit events that tap public and private liquidity pools. 
  

• Pursue geographic diversification in exit planning. India's liquidity underscores the appetite for new listings outside of traditional hubs. Cross-border sales or listings may unlock additional value, especially for sector leaders in technology and infrastructure. 
  

• Remain vigilant in preparing for volatility. Market windows can shift suddenly. Execution agility across documentation, syndication, and regulatory engagement ensures readiness to capture value when conditions are favourable. 
  

Conclusion: A Call to Action Amid Reopened Markets 

The 2025 IPO surge marks more than a rebound. It represents a structural reset in global capital market dynamics and private equity exit strategies. As the window for public exits reopens, trade sales will continue to serve as the foundation for most managers. However, the prospect of robust IPO alternatives now brings renewed flexibility and leverage. 

Clients committed to thoughtful preparation and decisive action will be best positioned to benefit from this new market cycle. Now is the moment for bold, well-planned action. If your organisation is evaluating exit strategies or seeking tailored insights into this evolving environment, our team is ready to support your ambitions with the depth, precision, and perspective your success requires.