Many investors take advantage of the profitable opportunities presented by IPOs in India’s active financial industry. Every company hoping to go public needs to give a Draft Red Herring Prospectus (DRHP) to the Securities and Exchange Board of India (SEBI).
The document shares all important details about the operations, finances, and the process of the IPO. It is important for investors to always review DRHPs if they want to make better choices about the upcoming IPO. As more companies issue DRHPs in 2025, people should focus more on learning about them.
In the world of finance, using this insight can help develop a strong investment portfolio.
Table of Contents
What is a DRHP?
A draft Red Herring Prospectus (DRHP) is a document that a firm gives to the Securities and Exchange Board of India before it issues its IPO. It shows the company’s type and business practices, provides a clear look at its finances, details the risks it faces, and explains what the company wants to do with the proceeds raised from the IPO.
The DRHP covers all key points but does not specify the cost of the shares or the number that will be offered. Subsequent changes are included in the Red Herring Prospectus only after SEBI approves them.
How to Track DRHPs of Upcoming IPOs in India
Following DRHPs helps you spot possible investment opportunities in India. They reflect the company’s plan to become public and explain its workplace and financial matters. Knowing the process for obtaining DRHPs helps investors gain an advantage and select the most suitable investments.
Here are the steps to follow when tracking upcoming IPOs on the DRHP.
1. SEBI’s Official Website
SEBI regularly updates its list of all DRHPs submitted by companies. These documents are available for investors to examine directly.
You will find a listing of DRHPs in this section, with the company’s name and the date it was filed.
2. Stock Exchange Websites
The stock exchange websites like NSE and BSE contain information about the upcoming IPO. After the DRHP is filed, these platforms provide information about the IPO, such as its terms.
3. Financial News Portals
Various financial news sites provide regular updates about the upcoming IPO and DRHP submissions.
They offer summaries and analyses of DRHPs so that investors can quickly comprehend the main information.
4. Brokerage Firms
Brokerage services such as Motilal Oswal Investment Advisors, JM Financial, Axis Capital, SBI Capital Markets, and ICICI Securities are some of the top merchant bankers for IPOs.
Many of these platforms include summaries of DRHPs, as well as suggestions for investing and tools for opening accounts.
Why is Tracking DRHPs Important?
Investors interested in upcoming IPOs should pay close attention to DRHPs. They offer important information about a business’s financial situation, strategies and possible risks. Investors rely on DRHPs to see the company’s real potential and adjust their investment schemes based on complete, up-to-date details for the IPO. Here are the reasons why DHRPs are important:
- Detailed Analysis of a Company: Informed Review of a Company: DRHPs give detailed accounts of a company’s business actions, present financial state and plans for the future.
- Risk Assessment: Before making an investment, individuals should review all the possible risks involved.
- Investment decisions on IPOs: Before deciding on an IPO, investors use the DRHP for guidance.
- Being informed: Following DRHPs makes investors more aware of the sectors the market is interested in at the moment and the trends it is pursuing.
Recent DRHP Filings in 2025
As of May 2025, many companies have submitted their DRHPs to SEBI, showing that a strong group of IPOs is in the works.
- Mouri Tech Limited: Officially registered on May 16, 2025. The IPO aims to raise ₹1,500 crore for the company.
- Greaves Electric Mobility: Greaves Electric Mobility received regulatory authority from SEBI to launch its IPO. Ampere, Eltra, and Ele are just some of the electric vehicle brands the company offers.
- Urban Company Limited: Urban Company Limited filed its DRHP on April 30, 2025. They aim to raise ₹1,900 crore from the IPO.
- WeWork India: As per the company’s DRHP, WeWork India made a net profit of ₹174.5 crore during the first half of fiscal year 2025.
This means that various sectors, such as technology and electric mobility, are becoming accessible to the public.
Tips for Analysing DRHPs
- Business Overview: Be sure to review the way the company conducts its business, how it generates revenue, and how it stands out in the market. To see how much money the company earns and its place among rivals, you need a clear business overview. Examine if the firm can be relied upon and if it can grow with the market.
- Risk Factors: Identify the risks mentioned by the company, as they might influence its performance and earnings. Be mindful of risks in regulation, dependency on the market, and the risks of operational issues.
- Use of Protocols: Check the company’s intentions for the money it collects through the IPO. Focus on building a plan that helps achieve your goals while allowing for long-term growth.
- Management and Promoters: Examine the past accomplishments and experience of the people leading the company. Having experienced management and positive promoters often displays a company’s strategic thinking and high operational standards.
Conclusion
Investors interested in the upcoming IPO in India should follow the DRHPs. People interested in the markets can visit news websites, stock exchanges, the SEBI website and brokerage firms to understand current events. Reviewing the DRHP helps investors find out about the company’s business, current financial state and expectations for the future.
DRHPs allow investors to learn about a company early on, giving them an advantage. Since India will have more IPOs next year, investors should keep up to date with the latest information. Monitoring DRHPs allows you to predict future trends and choose the best investments. Follow this method when investing in an IPO to make the most of your knowledge.
