Despite the crushing effects of Covid-19, 2020 and 2021 have turned out to be blockbuster years for IPOs. According to BuyShares.co.uk data, European IPO activity soared to a staggering 850% (YoY), with a total value of deals hitting the $55 billion mark in June 2021.
According to the Wall Street Journal and Dealogic data, the combined value of all IPO deals in 2020 saw a jump by 64% (YoY), reaching almost $320 billion. US companies raised over $140 billion via IPOs, seeing a 157% increase (YoY), the highest recorded value since 2000.
Asia saw IPO deals reach a value of $121.3 billion, an 80% increase since 2019. European companies saw modest gains with $28.6 billion in IPOs, a 28% increase.
IPO Increases by Region
Although global IPO activity surged during the first half of 2021, statistics show that Europe saw growth that was far greater than other areas of the world. In the US, companies raised nearly $148 billion in IPO deals in 2021—an increase of 453% from the same period in 2020.
Asia’s market jumped by 146% (YoY), with the total value of IPOs reaching $75.6 billion in June. Africa, the Middle East, and Latin America experienced massive growth, with the total value of IPO deals increasing by 375% and 290% (YoY).
The number one advisor on IPOs in Europe during 2021 was Credit Suisse, with over $15 billion worth of deals from January to June. This came on the coattails of an impressive performance in 2020.
Reported as the top investment bank in the world last year, the Swiss financial giant gained $21.4 billion worth of IPO deals. These deals outranked Citi, JPMorgan, and Morgan Stanley. Barclays came in second as Europe’s largest investment bank with $11.7 billion worth of IPO deals from January to June. UBS and Deutsche Bank followed in third place, with $9.4 billion and $8.7 billion in IPO deals.
The global activity for IPOs surged by 336% (YoY), with finance companies taking the lead in total value deals. The world witnessed over $300 billion worth of IPO deals globally in the first half of 2021. This increase was 336% more than the same period in 2020. Much of the IPO activity came in during Q1 with over $200 billion worth of deals.
In 2021, finance companies raised nearly $117 billion (40%) of the total value of IPO deals. The technology sector came in second with $79 billion in IPO deals, followed closely by healthcare, transportation, and consumer goods with $29.2 billion, $10.9 billion, and $9.4 billion in IPO deals.