EY Reports Global IPO Decline in H1 2024, Highlighting Regional Disparities with Americas and EMEIA Growth as Asia-Pacific Falters

EY Reports Global IPO Decline in H1 2024, Highlighting Regional Disparities with Americas and EMEIA Growth as Asia-Pacific Falters

(IN BRIEF) Global IPO activity in the first half of 2024 saw a decline, with 551 listings raising US$52.2 billion, marking a 12% decrease in volume and a 16% drop in proceeds year-on-year. While industrials led in number of IPOs and technology dominated in capital raised, the Americas and EMEIA regions experienced growth, contrasting sharply with Asia-Pacific’s significant downturn due to geopolitical tensions and economic factors.

(PRESS RELEASE) LONDON, 27-Jun-2024 — /EuropaWire/ — Global IPO activity in the first half of 2024 saw a decline, with 551 listings raising US$52.2 billion, marking a 12% decrease in volume and a 16% drop in proceeds year-on-year. These findings come from the latest EY Global IPO Trends Q2 2024 report, highlighting a slowdown primarily driven by reduced activity in the Asia-Pacific region.

Industrials led the way with 115 IPOs, driven notably by robust activity in India, while the technology sector dominated in capital raised, securing US$10.8 billion primarily from US-based offerings.

A notable shift was seen in large private equity and venture capital-backed IPOs, which accounted for 41% of proceeds in H1 2024, up significantly from 9% the previous year. This trend was particularly prominent in the Americas, where these offerings constituted 74% of IPO proceeds.

While the Americas and EMEIA regions saw strong growth, Asia-Pacific struggled with geopolitical tensions, economic slowdowns, and tightened IPO requirements in China. This led to a drastic decline of 43% in IPO volume and 73% in capital raised compared to the previous year.

George Chan, EY Global IPO Leader, commented on the market dynamics: “The global IPO landscape is navigating complex geopolitical and economic challenges. As Western economies gain IPO momentum, Asia-Pacific faces uncertainties that are reshaping investor strategies and IPO decisions.”

Looking ahead to the second half of 2024, the report anticipates varying central bank interest rate policies, ongoing geopolitical tensions, and election cycles to influence market conditions globally. Strategies to navigate these uncertainties will be crucial for companies considering IPOs, requiring agile decision-making amid evolving market dynamics.

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As Advisors to the ambitious™, EY Private professionals possess the experience and passion to support private businesses and their owners in unlocking the full potential of their ambitions. EY Private teams offer distinct insights born from the long EY history of working with business owners and entrepreneurs. These teams support the full spectrum of private enterprises including private capital managers and investors and the portfolio businesses they fund, business owners, family businesses, family offices and entrepreneurs. Visit ey.com/private.

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Going public is a transformative milestone in an organization’s journey. As the industry-leading advisor in initial public offering (IPO) services, EY teams advise ambitious organizations around the world and helps equip them for IPO success. EY teams serve as trusted business advisors guiding companies from start to completion, strategically positioning businesses to help achieve their goals over short windows of opportunity and preparing companies for their next chapter in the public eye: ey.com/ipo

About the data

The data presented here is available on ey.com/ipo/trends. H1 2024 refers to the first six months of 2024 and covers completed IPOs from 1 January 2024 to 17 June 2024, plus expected IPOs by 30 June 2024 (forecasted as of 17 June 2024). H1 2023 refers to the first six months of 2023 and covers completed IPOs from 1 January 2023 to 30 June 2023. All data contained in this document is sourced from Dealogic, S&P Capital IQ, Mergermarket and EY analysis unless otherwise noted. The Dealogic data in this report are under license by ION. ION retains and reserves all rights in such data. SPAC data are excluded from all data in this report, except where indicated.

Media Contact:

Eric Minuskin
Associate Director, Global Media Relations and Social Media, Markets, Ernst & Young LLP

SOURCE: Ernst & Young LLP