Renaissance Capital's 2Q17 Global IPO Market Review
Global IPO issuance gained momentum in the second quarter, with proceeds totaling $39.3 billion in the 2Q17, up 47% from the year-ago period. Building off a pick-up in activity at the end of the first quarter, Europe took the lead in the 2Q17 with 40% share of all proceeds raised, including the quarter's largest IPO from bailed-out Irish bank AIB ($3.4 billion deal). Despite a less active Hong Kong market and a slowdown in China A-share issuance in the latter half of the quarter, Asia Pacific took second place with 31% share of proceeds, helped by two large deals from Korea, mobile game developer Netmarble ($2.3 billion) and life insurer ING Life Korea ($1.0 billion). Issuance for the 2Q17 continued to be diversified, led by the financial, technology and consumer sectors. Global IPO performance averaged a respectable 7.4% ex-China (vs. 13% in the 1Q17), despite muted returns in the Asia Pacific. With a robust pipeline, we expect IPO issuance to remain active in the second half of 2017.
The article Renaissance Capital's 2Q17 Global IPO Market Review originally appeared on IPO investment manager Renaissance Capital's web site renaissancecapital.com.
Investment Disclosure: The information and opinions expressed herein were prepared by Renaissance Capital's research analysts and do not constitute an offer to buy or sell any security. Renaissance Capital, the Renaissance IPO ETF (symbol: IPO) or the Global IPO Fund (symbol: IPOSX) , may have investments in securities of companies mentioned.