London has fallen out of the world’s top 20 initial public offering (IPO) markets as its global financial hub reputation dwindles, while Singapore’s position jumps, according to a new ranking.
The U.K. capital dropped three spots to 23rd with US$248 million raised in Bloomberg’s ranking of the busiest IPO venues.
Singapore, meanwhile, joined the top 20 club at the ninth place with US$1.44 billion raised, nearly six times that of London, said the ranking, which compiles figures as of Sep. 30. Singapore was not included in the list last year.
People cycle along Marina Bay East Park, past the Marina Bay Sands resort, in Singapore on February 16, 2024.
Two other Southeast Asian markets on the list are Indonesia and Malaysia at the 14th and 15th places, respectively.
London’s fundraising volumes have plunged 69% year-on-year to the weakest since the late 1980s.
Notably, no Wall Street banks have been involved in deals, which were instead handled by smaller domestic firms.
London’s long-established role as a financial center has been increasingly challenged by rivals in Europe, Asia and the Middle East. Lower valuations have driven many companies toward New York or private equity buyers.
"When valuations are low, private owners hesitate to IPO at a discount, while listed firms become takeover targets instead," Leonard Keller, a portfolio manager at Berenberg, told Bloomberg.
"The U.K. has interesting companies, but London’s valuation discount can be an entry point for private equity."
At the top of the list remains the U.S. with $52.92 billion raised, followed by Hong Kong at $23.39 billion and mainland China, $16.17 billion.
India came fourth at $11.16 billion, while Saudi Arabia secured the fifth place at $4.38 billion.
[SRC] https://e.vnexpress.net/news/business/data-speaks/singapore-overtakes-london-in-top-20-ipo-markets-4945867.html
