India’s primary market is gearing up for a busy period, with several high-profile IPOs lined up over the coming months. Alongside filings from companies such as Zepto and Razorpay, investors are also awaiting potential listings of Reliance Jio and the National Stock Exchange (NSE).
While the spotlight often remains on companies going public, listed market infrastructure firms are positioned to benefit from the surge in activity.
Here are four companies with direct exposure to the IPO cycle.
1. BSE
BSE Ltd earns revenue from listing fees and transaction-related activity associated with new issues.
Large IPOs typically drive:
- Higher application volumes
- Increased trading activity
- Greater participation in derivatives and currency segments
During FY26, the company reported:
- Revenue of ₹5,148.1 crore
- Net profit of ₹2,421.83 crore
Net profit more than doubled during the year.
BSE currently has a market capitalisation of ₹1,69,534 crore, while the stock has delivered returns of 54.31% over the past year.
2. CDSL
Central Depository Services Ltd (CDSL) benefits whenever investors open demat accounts and participate in IPOs.
Large public issues often attract first-time investors, leading to fresh account additions.
The company earns through:
- IPO processing fees
- Account maintenance charges
- Transaction-related services
Key FY26 highlights:
- Active demat accounts crossed 18.01 crore
- New accounts added during the year: 2.71 crore
- Standalone income: ₹1,096 crore
According to the report, less than 10% of India’s population currently holds a demat account, leaving room for further expansion.
3. CAMS
Computer Age Management Services Ltd (CAMS) is one of the largest registrar and transfer agents (RTAs) for India’s mutual fund industry.
IPO activity often encourages new investors to enter equity markets and eventually start SIPs or invest in mutual funds.
CAMS currently:
- Holds around 68% of the mutual fund RTA market
- Administers assets worth ₹55.1 lakh crore
- Processes 65% of new SIP registrations
Its fee structure is linked to assets under management, allowing incremental inflows to support profitability.
4. KFin Technologies
KFin Technologies Ltd provides registry and investor servicing solutions to listed companies and fund administration services.
For newly listed firms, the company manages:
- Shareholder services
- Compliance processes
- Corporate registry functions
- Investor communications
In FY26, KFin Technologies reported:
- Revenue of ₹1,301.5 crore
- Year-on-year growth of 19.3%
Its global fund administration business saw assets under management rise 381.5% to $45.7 billion.
Why Market Infrastructure Companies Benefit
An IPO wave creates demand across several areas:
- Demat account openings
- Listing fees
- Mutual fund investments
- SIP registrations
- Corporate registry mandates
- Shareholder servicing
Unlike one-time gains from individual listings, many of these activities generate recurring income streams.
Stocks in Focus
| Company | Key Exposure |
|---|---|
| BSE | Listing fees and trading activity |
| CDSL | Demat accounts and IPO processing |
| CAMS | Mutual fund administration and SIP registrations |
| KFin Technologies | Corporate registry and investor servicing |
TL;DR:
As India prepares for a busy IPO cycle, BSE, CDSL, CAMS and KFin Technologies are positioned to benefit from higher listings, new demat accounts, growing mutual fund participation and increased corporate registry activity.
AI summary:
- India is heading into an active IPO cycle.
- BSE benefits from listing fees and higher trading volumes.
- CDSL earns from demat account additions and IPO participation.
- CAMS gains from rising mutual fund inflows and SIP registrations.
- KFin Technologies benefits from corporate registry and fund administration services.