Hong Kong tops global IPO markets despite total funds raised sliding to eight-year low
Thomson Reuters data for 2016 makes Hong Kong the biggest IPO market worldwide, though total funds raised were way down on last year
Total funds raised in the Hong Kong stock market have dropped to an eight-year low but the city still ranks top as the largest IPO market worldwide, according to data from Thomson Reuters.
A combined total of just US$39.4 billion was raised in Hong Kong through initial public offerings (IPO), share placements, rights issues and other offerings this year, down 57 per cent from US$91.68 billion in 2015. It’s the lowest amount raised in the local stock market since the financial crisis in 2008.
The total funds raised in Hong Kong through IPO dropped by 26 per cent to US$24.35 billion, compared with US$33 billion last year.
It is, however, still enough for Hong Kong Exchanges and Clearing to rank No.1 among global IPO markets this year, the second consecutive year it has taken the top spot. The funds raised in Hong Kong, according to the data, beat Shanghai Stock Exchange in second place with US$16 billion and New York Stock Exchange on US$11.87 billion.
Shenzhen Stock Exchange’s ChiNext, the Chinese equivalent of the Nasdaq, ranked the 10th biggest IPO market worldwide, with US$3.99 billion raised.
