October 2025: Mutual Fund Companies Buy Heavily in IPOs, Led by ₹1,808 Crore in Canara HSBC

Mutual fund participation in October remained strong, with investments crossing ₹13,500 crore across ten IPOs. These public issues together raised more than ₹45,000 crore during the month, and institutional demand played a major role in their success.

Strongest Interest in Canara HSBC Life Insurance

Among all the IPOs, Canara HSBC Life Insurance received the highest interest from mutual funds. They subscribed to almost 71% of the issue, investing around ₹1,808 crore out of the company’s total ₹2,518 crore offering. This made it the most sought-after IPO for fund managers in October.

Solid Demand for Midwest and Canara Robeco AMC

Midwest and Canara Robeco Asset Management also saw strong mutual fund buying. About 55% of each of their issues was taken up by mutual funds. Midwest received ₹250 crore against its ₹451 crore issue, while the full subscription details for Canara Robeco AMC indicated similar high demand.

Rubicon Research also attracted good interest, with nearly 50% of its ₹1,378 crore issue taken up. Mutual fund investment in this IPO stood at around ₹676 crore.

Large Issues Draw Healthy Participation

Two large IPOs, LG Electronics India and WeWork India Management, recorded around 45 % subscription from mutual funds.

• LG Electronics India saw investments of ₹5,237 crore against its ₹11,600 crore issue size.
• WeWork India Management recorded mutual fund inflows of ₹1,414 crore compared with its ₹3,000 crore offering.

These figures show that major institutional investors remained confident in larger offerings as well.

Relatively Lower Participation in Tata Capital and Lenskart

Despite being one of the biggest IPOs of the year, Tata Capital’s ₹15,511 crore issue received only modest interest from mutual funds. They subscribed to about 13%, investing nearly ₹2,008 crore.

Lenskart Solutions followed with mutual funds taking up around 15% of its ₹7,278 crore offering. This translated into investments of about ₹1,130 crore.

Read more: Upcoming IPOs This Week (17–21 Nov, 2025): Check Full List Here!

Conclusion

Overall, October proved to be a strong month for mutual fund participation in IPOs. While some issues like Canara HSBC Life Insurance, Midwest, and LG Electronics India attracted heavy institutional demand, others such as Tata Capital and Lenskart saw comparatively lower interest. Even so, mutual funds continued to play an active role in the IPO market, contributing over ₹13,500 crore and supporting a robust fundraising environment. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.