The report examines why cross-border IPOs have increased in popularity. Will this trend continue when securities markets in emerging economies become more robust and secure?
Cross-border IPOs have increased over the past ten years. Our research shows that in 2002 cross-border activity accounted for 2% by number and 6% by value of total IPO activity and peaked in 2006 reaching 14% by number and 26% by value.
Over the past decade we have seen more companies consider listing venues beyond traditional financial centres such as London and New York. In particular, Hong Kong and Singapore have attracted an increasing number of international IPOs.
Despite the increasing prominence of the East, London remains the leading international listing venue, attracting 480 IPOs raising $110bn from cross-border issuers originating from a diverse range of markets around the world. This represents 34% by number and 58% by value of the total IPOs on the London Stock Exchange, and 41% by number and 50% of all cross- border IPOs globally.