The Securities and Exchange Board of India (SEBI) has officially cleared the path for two more companies to enter the stock market. In its latest weekly update, the markets regulator confirmed that it has approved the initial public offerings (IPOs) for InCred Holdings and SEDEMAC Mechatronics.
This approval comes in the form of an “observation letter.” In simple terms, when SEBI issues this letter, it acts as a formal green light. It means the companies have met the necessary regulatory requirements and can now proceed with launching their public issues to raise funds from investors. The regulator issued the letter to InCred, a fintech firm, yesterday, and followed up with an approval for deeptech company SEDEMAC today.
InCred Holdings: Financials and IPO Details
InCred Holdings took a slightly different route for its application. The company filed its IPO papers confidentially back in November. This “confidential filing” route allows companies to keep their sensitive information private during the initial review phase.
While the company has not yet released the final price band or the exact dates, we do know some key details about the size of the offer. InCred had earlier sought approval from its shareholders to raise up to ₹1,500 crore through a “fresh issue” of shares. A fresh issue means new shares are created and sold, and the money goes directly into the company for growth and operations.
Market reports suggest that the total size of the IPO could be much larger. When combining the fresh issue with potential sales by existing shareholders, the total value is expected to land somewhere between ₹3,000 crore and ₹4,000 crore.
Financially, the company is showing strong growth. According to its last disclosed performance for the fiscal year FY25, InCred is on an upward trajectory. The company’s net profit surged by 21%. It rose to ₹373.1 crore, up from ₹309 crore in the previous fiscal year. The revenue growth was even more impressive. The company saw its operating revenue zoom up by 47%, hitting ₹1,873.6 crore compared to ₹1,272.7 crore in FY24.
SEDEMAC Mechatronics: A Pure Offer for Sale
The second company to get the nod is SEDEMAC Mechatronics. This company has a prestigious background as it was incubated at IIT Bombay. Like InCred, SEDEMAC also filed its draft papers (DRHP) in November.
However, the structure of SEDEMAC’s IPO is different. It will be a 100% Offer for Sale (OFS). This means the company is not issuing new shares to raise fresh capital for itself. Instead, existing investors and promoters are selling their stakes to the public. In total, these shareholders plan to sell up to 80.43 lakh shares.
The list of people and firms selling their shares includes several prominent names:
- A91 Partners: Selling 24.11 lakh shares.
- 360 ONE Asset: Selling 11.53 lakh shares.
- Xponentia Capital: Selling 10.45 lakh shares.
The company’s leadership is also participating in the sale. Manish Sharma, the founder and CEO of SEDEMAC, plans to sell 45,000 of his shares. Additionally, Ashwini Amit Dixit, a member of the promoter group, intends to offload 67,500 shares.
On the financial front, SEDEMAC has posted robust numbers. For the first quarter of the fiscal year 2026 (Q1 FY26), the company reported a net profit of ₹17.1 crore. Its revenue, or top line, for that same quarter stood at ₹217.4 crore. Looking back at the full fiscal year of FY25, the company saw a massive jump in profitability. Net profit surged 8 times year-over-year to reach ₹47.1 crore. Operating revenue also grew by a healthy 24% to ₹658.4 crore.
A Boom in New-Age Tech IPOs
These approvals are part of a much larger trend sweeping the Indian stock market. We are currently witnessing a boom in “new-age” tech companies going public. The appetite for these stocks seems to be high. Last year alone, 18 such companies made their debut on the stock exchanges.
The momentum is not slowing down. Currently, there are more than 40 companies waiting in the queue to launch their IPOs. The calendar for next week is already packed. Two major IPOs—Fractal Analytics and Aye Finance—are scheduled to open for subscription on Monday, February 9. These issues will remain open for three days and are set to close on Wednesday, February 11.
Who Else Has the Green Light?
SEBI has been busy clearing a backlog of applications. Aside from InCred and SEDEMAC, the regulator has recently cleared IPOs for a long list of well-known brands. This includes:
- AceVector
- Curefoods
- AITMC
- Leap India
- boAt (consumer electronics)
- Turtlemint (insurtech)
- Infra.Market
- Purple Style Labs
- PhonePe (fintech giant)
- Kissht
Still in the Pipeline
While many have received approval, several big names are still waiting for the final nod. Companies that have filed their draft IPO papers and are currently under review include hospitality giant OYO, quick-commerce player Zepto, Tonbo Imaging, and Meritto.
Conclusion
The approval of InCred Holdings and SEDEMAC adds two more strong contenders to the Indian primary market. With solid financial performance backing both companies—one in fintech and the other in deeptech—investors will have varied options to consider. As the IPO window for February opens up with Fractal and Aye Finance next week, the market is bracing for a busy season of listings. The sheer volume of companies getting regulatory clearance suggests that 2026 is shaping up to be a landmark year for tech listings in India.
