According to data presented by Stock Apps, European IPO activity jumped by 330 per cent YoY, with the combined value of deals reaching USD89 billion last week. The total value of deals 75 per cent higher than in the last two years combined.
After a record-breaking first half of the year, global IPO activity has slowed down in the third quarter, driven by inflation concerns, tightening of the monetary policies by central banks, supply chain disruptions, and worries about the post-lockdown economic recovery. Although the total value of deals hit USD112.3 billion, down from USD122.3 billion in the same period a year ago, it was still the most active Q3 in recent years in Europe and the United Kingdom.
While the global IPO activity slowed down over the past few months, following a generally quieter summer period and a pause for Chinese IPOs in the US, the European market has seen a variety of businesses coming to the market across different sectors, including financials, healthcare, technology, consumer and industrials.
The Wall Street Journal and Dealogic data also showed that Europe witnessed much stronger IPO activity and bigger YoY growth than other regions. Over the past ten months, the total value of IPO deals in the European market hit USD89 billion, or 75 per cent higher than in 2019 and 2020 combined.
US companies raised USD218.2 billion in IPO deals since the beginning of the year, 101 per cent more than in the same period a year ago. The total value of deals in the Asian market jumped by 46 per cent YoY to USD132.2 billion as of last week. The Middle East and Africa also witnessed impressive growth, with the total value of IPOs soaring by 320 per cent YoY to USD12.2 billion.
Statistics show JP Morgan is the number one advisor on IPOs in Europe this year, with USD9.22 billion worth of deals year-to-date. Goldman Sachs ranked second on Europe’s IPOs bookrunner list, with USD5.86 billion worth of deals between January and October. City and Morgan Stanley follow, with USD5.56 billion and USD5.07 billion, respectively.
Although all the largest sectors in the European market saw impressive year-over-year growth, statistics show the tech industry still leads in the total value of IPO deals. Over the past ten months, European tech companies completed USD25.6 billion worth of IPOs, significantly up from USD9.3 billion in the year-ago period.
European finance companies have raised almost USD17.5 billion through initial public offerings since January, showing a massive 962 per cent increase YoY.
The healthcare sector witnessed USD8.34 billion worth of IPO deals over the past ten months, a fourfold increase compared to the same period a year ago. Utility and Energy sectors follow, with USD4.8 billion, and USD4.69 billion, respectively.
