PSX: 7 IPOs worth PKR4.3 billions issued during 2025

The Pakistan Stock Exchange (PSX) witnessed momentum in initial public offering (IPO) activity during 2025, with a total of 7 offerings recorded during the year, including two GEM Board listings and one migration. This momentum mirrors 2024, when the bourse also hosted seven IPOs, underscoring sustained capital market activity.

The total amount raised from investors through the 7 offerings (including migration) in 2025 aggregated to PKR4.3 billion as against PKR8.4 billion last year. Despite the lower quantum of funds raised, investor appetite remained robust, as all offerings were oversubscribed, reflecting strong market enthusiasm.

This sustained IPO momentum is largely a continuation of last year’s trend, driven by macroeconomic stability under the IMF programme, improving investor confidence, positive equity market sentiment, and a declining interest rate environment.

The benchmark Index surged significantly by 47.9% in PKR terms and 47.1% in US$ terms in 2025 to date, reflecting overall positive sentiment and renewed investor interest.

The average daily traded volume has also increased by 40%, reaching 797 million shares, while the daily traded value has risen by 64% to PKR36.6 billion during 2025 to date.

In 2025, new listings on the main board included Zarea Limited (ZAL), Barkat Frisian Agro Limited (BFAGRO), Image REIT (IRIET), and Pak Qatar Family Takaful (PQFTL). There was one migration of BlueEx from GEM Board to Main board while two companies were added to GEM board which are Nets International Communication (GEMNETS) and Pakistan Credit Rating Agency (GEMPACRA). To highlight, out of 4 main board listing, Topline was advisor in 2 listing in 2025.

In terms of performance, ZAL was the best-performing IPO in 2025, delivering a return of 202% in 2025TD, in which topline was the advisor.

The global IPO market has also gained momentum. According to Ernst & Young (E&Y), a total of 914 IPOs were recorded through 9M2025, raising US$110 billion, as compared to 870 IPOs that raised US$78 billion during the same period last year. The growth in IPO activity is primarily driven by larger deal sizes, supported by robust equity markets, monetary easing, and more accommodative financial conditions. Despite ongoing geopolitical and macroeconomic uncertainties, investor sentiment continues to improve. Geopolitical risk is increasingly being viewed as part of the “new normal”—a persistent backdrop to market dynamics rather than a one-off shock.

Topline Securities expects IPO activity in 2026 to remain strong compared with the current year, supported by a healthy pipeline of offerings, improving economic conditions, and a lower interest rate environment.

In mainboard, 4 companies raised funds through IPO. These companies represented various sectors including Technology, Food & Personal Care, Real Estate Investment, and Insurance.

Zarea Limited (ZAL):

Zarea is one of leading digital technology company specializing in the commodity trading market of Pakistan. The primary purpose of the IPO is to achieve growth by increasing their customer base and improving the user interface of its online platform. For this purpose, company is raising money to meet their working capital needs, establish its own logistic fleet, upgrade it online platform etc. The company offered 62.5 million shares at strike price of PKR16.5/ share, raising PKR1,031 million in February, 2025 with an oversubscription of 1.9x.

Barkat Frisian Agro Limited (BFAGRO): 

BFAGRO is the Pakistan’s only producer of pasteurized egg products. It is a Pakistan-Dutch Joint venture between Buksh Group and Frisian Egg International B.V. which is Dutch company. Company raised funds to setup new facility in Faisalabad which will increase production capacity by 12,000 tons totaling to 29,000. This expansion will enable the company to explore new export opportunities and target new customers in the local market. The company offered 67.7 million shares at strike price of PKR18.2/ share, raising PKR1,232 million in February, 2025 with an oversubscription of 16.25x.

Image REIT (IREIT): 

Image REIT is hybrid REIT scheme having both Rental and Developmental Component managed by Sino link RMC. The principal activity of IREIT is to invest directly in real estate assets with the objective of generating sustainable income and long-term returns for investors through rental income, capital appreciation, and value creation. The principal purpose of the Issue is to raise funds to complete the construction of the Developmental Component. The company offered 92.0 million shares at a strike price of PKR10.0/ share, raising PKR921 million in September, 2025 with an oversubscription of 2.1x.

Pak Qatar Family Takaful (PQFT): 

Pak Qatar Family Takaful Limited (PQFTL) is Pakistan’s largest dedicated family takaful company which offers comprehensive Takaful and investment solutions. The company raised funds to be utilized for: 1) Expansion of Digital Footprint, 2) Strengthening Solvency and Enhancing Underwriting Capacity, and 3) Compliance with Minimum Paid-up Capital requirements. The company offered 50 million shares at strike price of PKR18.0/ share, raising PKR901 million in December, 2025 with an oversubscription of 3.2x.