IPO watch Europe: Q3 2009

October 2009

Europe’s Initial Public Offering (IPO) markets showed some signs of improvement in the value of IPOs in the third quarter of 2009 against what can only be described as dismal comparative periods, including the second quarter of 2009 and the third quarter of 2008. 

Typically lower IPO activity occurs over the summer break which tends to result in the third quarter underperforming the second quarter of the year.  This year however, there has been an increase in both the volume and value of IPOs in the third quarter with 44 IPOs raising €1,799m across Europe compared to 28 IPOs raising just €456m in the second quarter of 2009.  This increase in activity must be seen in the context of the events of the first half of the year where a combination of economic downturn and huge secondary offerings by listed companies dominated the capital markets. While secondary offerings have continued into the third quarter of 2009, these have been at a far lower rate when compared to the first half of the year. 

IPOs across the main European exchanges this quarter have been dominated by listings of international companies, with money raised by non-European companies accounting for 97% of the total.

Read the press release for IPO Watch Europe:

• Cautious optimism as European IPO markets start to show signs of recovery