The IPO market

Globalization is the driving force behind many IPO trends throughout 2006 and Q1 2007.

For analysis of what's been happening in the markets, how 2007 is shaping up, and insight from Ernst & Young and other leading financial services professionals, download "Globalization: global IPO trends report 2007".

The report highlights the growth of cross-border trading which has obliged local exchanges to become more liquid and stringent. This in itself has encouraged companies to list on local markets — 90% of the world’s companies choose to list in their primary market.

Record amounts were raised in 2006, achieving a record breaking US$246 billion. Investors are also seeking high returns in emerging markets. China raised the most capital at US$56.6 billion — and had the largest IPO ever as the Industrial Commerce Bank of China raised US$22 billion alone — while Russia continues to drive the growth in the European markets.

Other key trends to note:

• global IPO markets soared to record heights in 2006, propelled by emerging market mega deals, while a strong but steady IPO flow maintains last year’s momentum into 2007
• growth-hungry investors hunt for higher returns abroad, especially in emerging markets
• as global capital expands its horizons with more world-class financial centers, Hong Kong and London lure the top global IPOs
• global bourse rivalry leads to transatlantic NYSE Euronext merger, and more exchange alliances expected soon
• private equity’s impact on world IPO markets mounts as LBOs swell in size.

Download "Globalization: global IPO trends report 2007".