The Asia-Pacific (APAC) region topped the global initial public offering (IPO) market, with 604 companies going for public issues to raise “a total of $33.9 billion” for the calendar year 2024.
The performance was driven by strong market sentiment, a favorable macroeconomic environment, and a surge in investor interest fueled by fear of missing out (FOMO), reveals GlobalData, a data and analytics company.
An analysis of GlobalData’s Deals Database reveals that while the number of IPOs globally “declined in 2024, the total deal value saw a significant rise.”
A total of 867 IPOs were registered with an “aggregate deal value of $84.9 billion, reflecting a 15.7% rise in value compared to the $73.4 billion from 1,041 listings in 2023.”
North America saw 144 deals valued at $29.5 billion. This indicates a shift towards larger, more valuable IPOs despite the reduced number of listings.
Murthy Grandhi, Company Profiles Analyst at GlobalData, comments:
“India claimed the top position globally in IPO volume for the first time, listing nearly twice as many IPOs as in the US and nearly three times more than Europe. Meanwhile, the US regained its leadership in IPO proceeds for the first time since its 2021 peak, reaffirming its status as the most dynamic and attractive market for global investors.”
They added:
“US stock market valuations reached new highs, surpassing all other markets. In contrast, tightened regulations in mainland China led to its weakest IPO performance in a decade by volume. However, Malaysia saw a huge jump in IPO volume, driven by growing interest in its market valuation and liquidity.”
At country level, India topped with 216 public issues “valued at $11.2 billion, primarily due to a higher number of SME IPOs.”
The US came in second with 126 deals to raise “$28.2 billion, while China ranked fifth with 64 transactions worth $5.2 billion.”
The sectors driving the IPO activity were technology and communications, registering “149 transactions with a total value of $8.9 billion.”
Following closely were financial services with “122 deals ($9.3 billion), pharmaceuticals and healthcare with 77 transactions ($10.2 billion), and construction with 73 deals ($3.3 billion).”
Few prominent IPOs include Hyundai India and Lineage Inc “raising $3.4 billion and $4.4 billion, respectively.”
Grandhi adds:
“GlobalData expects the global IPO market is set for a strong performance in 2025, fueled by favorable monetary policies, robust liquidity, and rising valuation levels. Historically, IPO activity has increased after US presidential elections due to greater policy clarity and stabilized market sentiment. Industrials, TMT, and financials are expected to lead the early wave of IPOs, with growth anticipated across nearly all sectors.
Key trends, including shifts in fiscal and monetary policies, geopolitical tensions, advancements in AI and digital transformation, “evolving ESG priorities, and the influence of the new US administration will reshape the IPO landscape.”
Additionally, the market is evolving into distinct regional ecosystems, with local economic conditions and “strategic priorities driving sector-specific growth.”
Grandhi concludes:
“As these dynamics converge, 2025 promises a dynamic and interconnected global IPO market, presenting compelling opportunities for issuers and investors alike.”
