India was the country with the largest number of new company listings in 2024, so far.
An analysis of GlobalData’s Deals Database revealed that 822 initial public offerings (IPOs) were registered globally between January and August 2024, with an aggregate deal value of $65 billion.
While the number of IPOs globally declined in the first eight months of 2024, the total deal value saw a 17.4% rise, compared to the $55.4 billion from 1,564 listings during the same period in 2023.
“The IPO market underwent a significant uptick in activity in 2024 as macroeconomic conditions stabilised and there was a resurgence in private equity and venture capital-backed listings,” said Murthy Grandhi, Company Profiles Analyst at GlobalData.
Amongst all the nations, India topped the global IPO market, with 227 transactions totalling $12.2 billion in the first eight months of 2024, GlobalData found. The remarkable performance was driven by strong market sentiment, a favourable macroeconomic environment and a surge in investor interest fueled by fear of missing out (FOMO).
Both the SME and mainboard IPO segments were said to have contributed to India’s success, supported by strong demand from local retail investors and institutions.
The Asia-Pacific region overall had a great IPO performance. The region recorded the largest number of transactions, amounting to $23.7 billion in value from 575 transactions. In addition to India’s success, China ranked third globally, with 69 transactions worth $5.3 billion. Meanwhile, the US came in second with 133 deals of $23.1 billion.
The sectors leading the way in IPO activity were technology and communications, registering 135 transactions with a total value of $6.4 billion. Following closely were financial services, with 113 deals ($11.6 billion), construction with 79 transactions ($3.9 billion) and pharmaceuticals and healthcare with 75 deals ($7 billion).
Reflecting on the changing trends within the markets, Grandhi explained: “Companies planning for IPOs are increasingly prioritising revenue growth, profitability metrics, and sustainable business strategies, reflecting a broader trend towards long-term financial resilience and responsible growth.”
In addition, there has been a noticeable shift in investor focus over the past two years, with greater emphasis on the financial sustainability and profitability of newly listed companies. This change signals a more discerning approach from investors, given the backdrop of tighter monetary conditions and persistent market uncertainties.
