Hong Kong IPO funding surges nearly 3 times in Q1, ranking fourth globally

Hong Kong’s initial public offerings market raised HK$18.2 billion in the first quarter of this year, up nearly 2.9 times from a year earlier, ranking fourth globally, according to Deloitte. 

The city trailed Nasdaq, the New York Stock Exchange, and the Tokyo Stock Exchange in total fundraising. The Shenzhen Stock Exchange and the Shanghai Stock Exchange ranked ninth and tenth globally, respectively.

The first quarter saw 15 IPOs in Hong Kong, a 25 percent increase compared to 12 listings in the same period of 2024.

In the past quarter, 64 percent of IPOs were oversubscribed by more than 20 times. Meanwhile, 46 percent debuted with a price-to-earnings ratio of 10 to 20 times, up four percentage points from a year earlier, while the share of IPOs listing at a price-to-earnings ratio of 5 to 10 times rose 10 percentage points to 27 percent.

Deloitte maintained its full-year forecast of around 80 new listings in the city, raising between HK$130 billion and HK$150 billion. The firm expects fundraising to be driven by large-capitalization A-shares, leading Chinese firms, secondary listings from the Middle East and Association of Southeast Asian Nations companies, as well as artificial intelligence and health care sectors.

STAFF REPORTER