贝克·麦肯西-跨境IPO指数2018（英文）-2018.12-29页.pdf

Cross-Border IPOIndex 2018Megadeals and cross-border listings into US and HongKong dominate global IPOsGlobal capital raised from IPOs increased 5%despite a decline in activity levels in a yeardominated by megadeals and cross-borderlistings into US and Hong Kong,according toour research.The market continued toexperience geopolitical uncertainty and relatedconcerns around worldwide trade flows.US President Trumps protectionist policies,the UKsimpending divorce from the European Union and marketvolatility have contributed to the decline in the overallvolume of deals.While total capital raised increased by 5%to USD 219.4 billion,the number of deals fell 17%to 1,448.Domestic listings slideThat slide was replicated in the domestic IPO market,wherethe volume dipped by 21%to 1,231 IPOs and value of listingsalso declined by 11%to USD 158.2 billion,a result of marketvolatility caused by political concerns and recent andupcoming elections in the US,India and most of LatinAmerica.The number of listings in Europe,Middle East&Africa(EMEA),Asia Pacific,and Latin America were all down by anaverage of 32%,while there was a more positiveperformance in North America with a 25%increase in listingsrecorded,although this did little to offset the overall globaldecline.Perhaps surprisingly,the US domestic IPO market was notimpacted by the mid-term elections and was the mostactive of all domestic markets with a total of 200 listingsrecorded at a value of USD 41.7 billion.It was followed by India where 171 IPOs were recorded,a 6%slide on last year,followed by Canada with 107 issues,up43%year-on-year.Cross-border flipProviding a counter balance to relatively slack domestictrade was an active cross-border IPO market,where capitalraising reached a 4-year high.New listing regimes in Hong Kong,which make it easier forcompanies to list and continued growth in Chinese-domiciled companies listing in the US,has been behindmuch of the increase.Young Chinese Biotech companies aresaid to be heading to Nasdaq to list as a result of its newand more flexible listing requirements.As a result,our Global Cross-Border Index grew by 46%in2018 to 23.8 due to a steady increase in the value andvolume of IPOs by Chinese issuers listing in Hong Kong,Nasdaq and New York.A total of USD 62.0 billion was raisedfor the year as a whole,a jump of 68%on 2017 and thehighest since 2014.Volume also increased by 19%to 221.Increasing megadealsThere has been a steady increase in the number ofmegadeals(raising over USD 1 billion)over the past 3 years,from 22 in 2016,to 30 in 2017 and 35 in 2018-with NorthAmerica showing the largest increase.Hong Kong dominance continuesHong Kong confirmed its position once again at the top ofthe leader board of stock exchanges by value with USD 36.6billion worth of capital raised,a jump of 124%on last year.It was boosted by changes to its listing regime,which allowsfor IPOs of Biotech companies that dont yet have a trackrecord of profitability,and the listing of companies withweighted voting right structures.When it comes to volume,Nasdaq stole Hong Kongs crownas the most active exchange with a total of 190 IPOs,up44%on the year,boosted by the growing number of techlistings-particularly from China.The London Stock Exchange(LSE)maintains a top tenpodium spot on the most active leader boards by both valueand volume despite the uncertainty surrounding Brexit,although the amount of capital raised has fallen by 15%toUSD 10.9 billion.Its been another year of strong geopoliticalheadwinds-protectionism,Brexit and generaluncertainty caused by elections around theworld-all of which have done little to dampencapital market activity amongst certain issuers.In particular,weve seen an increase in cross-border IPO value in 2018,largely as a result ofan increase in listings and capital raising byChinese companies tapping deep investorpools in Hong Kong and the US.Whiledomestic listings were down slightly fromwhere we expected them to be,we expect anuptick in 2019 as new governments settle andcertainty increases once more.Koen VanhaerentsGlobal Head of Capital MarketsSectorFocusFinancials continues to be the most active sector inthe global IPO marketFinancials retained the top spot as most activesector in the global IPO market for both dealvolume and capital raised,although the latterfell on the prior year.A total of 290 IPOs were recorded in the Financials sector,up18%on 2017,while total capital raised dropped 24%to USD41.7 billion,over 80%of which was raised from domesticlistings.Some of the most notable deals included AXAEquitable Holdings IPO in May which raised USD 3.2 billionon the New York Stock Exchange(NYSE),DW Groups USD 1.6billion in Frankfurt,Thailand Future Funds USD 1.4 billionlocal listing and Jiangxi Banks USD 1.1 billion listing in HongKong.Telecommunications came in second on the leader boardwhen it comes to capital raising with USD 33.9 billionrecorded,up an incredible 2300%on the year,due to anumber of megadeals including Softbanks USD 21.1 billionlisting due to list on Tokyos exchange on 19 December,aswell as China Towers USD 6.9 billion listing,and XiaomisUSD 5.4 billion listing,both on the Hong Kong StockExchange.This capital was raised by only 18 issues in thesector,compared to the 290 listings in Financials,but isskewed by the huge value of Softbanks listing.High Technology also had a strong year,up 17%,raising USD32.6 billion-supported by a number of megadeals,includingFoxconn Industrial Internets public offering in Shanghaiwhich raised USD 4.3 billion,iQIYI Inc raised USD 2.4 billionon Nasdaq,Pagseguro Digitals USD 2.3 billion listing onNYSE and Pinduoduos IPO drawing USD 1.6 billion onNasdaq.Despite less global activity in this sector,capitalraising increased by 17%as a result of a 254%increase in thevalue of cross-border offerings,mostly from Chinese-domiciled companies.Healthcare also saw a jump in capital raised,up 32%year-on-year to USD 20.4 billion and Real Estate was up 26%toUSD 15.8 billion.There were 2 megadeals in the Healthcare sector SiemensHealthineers USD 5.2 billion float on Frankfurts DeutscheBrse and the USD 1.1 billion Hapvida Participaes eInvestimentos SA IPO on Brazils B3.In Real Estate,megadeals included VICI Properties domestic listing in NewYork which raised USD 1.4 billion,Vinhomes listing in Ho ChiMinh for USD 1.4 billion and Smithson Investment TrustsUSD 1.1 billion listing on the LSE.Its been another strong year for IPOs in theBiotechnology sector with both the amount ofcapital raised and the number of IPOs thesecond highest in the last 5 years.At 40,the number of Biotech IPOs was down slightly on lastyears record of 44,but recorded a 10%increase in capitalwith USD 4.2 billion,a figure only bettered in 2016 when USD5.1 billion was raised.Indeed,the last 4 years has been abumper period for IPOs in the sector with a 70%increase inBiotech valuations over the period.Cross-border Biotech IPOs have also been active,making up20%of total issues and 43%of total capital raised.ChineseBiotechs have been leading the way with cross-borderlistings with USD 1.8 billion raised compared to USD 173million last year.Appetite remains strongFueling such activity is the emergence of a crop of youngBiotech companies arriving on the market with highvaluations,which are being chased by strong investorappetite.They are looking to raise capital to fund researchand development for clinical trials,particularly the moreexpensive Phase III stage.In addition,activity has also been boosted by US FDA effortsto speed up approvals,along with the new rules on theHong Kong Stock Exchange,which have made it easier forBiotechs to list.The HKSE now allows Biotech companiesthat arent yet profitable or without revenue to list,provided their expected market capitalization is more thanHK$1.5 billion.That compares to the 3 consecutive years ofprofit and revenue,which those listed on Chinas mainexchanges Shanghai and Shenzhen must prove beforelisting.The new rules in Hong Kong mean the number of Biotechcompanies coming to the market in the early stages ofresearch and development and with no profit or turnover isexpected to grow.When it comes to the most activeexchanges for volume,Nasdaq remains the most popularchoice for Biotechs to list with 26 issues raising USD 2.1billion,while South Koreas Kosdaq came in second with 5issues raising USD 107 million.The Hong Kong StockExchange raised USD 1.4 billion across 3 issues,ShanghaiStock Exchange USD 358 million and the NYSE USD 138million,both with 1 Biotech issue.Spotlight on BiotechnologyCross-border IPOsNasdaq and Hong Kong Stock Exchange were the only 2exchanges where Biotechs completed cross-border IPOs.Nasdaq has historically been a popular choice for technologylistings;Euronext,a strong contender,has been a strongchallenger but saw a number of deals fail to launch due tochoppy investor sentiment.Hong Kong outpaced Nasdaq in capital raising terms withUSD 1.4 billion recorded across 3 issues,while Nasdaqnotched up 5 issues which raised USD 435 million.Major offerings remain strongThere were no mega-IPOs in Biotech during 2018 but ChinasBeigene Inc.came close,raising USD 903 million after pricingits secondary listing in Hong Kong.Another major offering came from US Biotech firm AllogeneTherapeutics which listed on Nasdaq for USD 373 million,acompelling move given the company was less than 6months old at the time of listing.A large part of that isdown to investors faith in Allogenes management,whopreviously led the successful Biotech listing of Kite Pharma.Chinas global contract research outsource provider,WuXiAppTec,successfully listed on the main board of theShanghai Stock Exchange marking the nations first unicornenterprise to get initial public offering approval on the A-share market.WuXi AppTec raised USD358m in the IPO and said it will usethe proceeds in its expansion projects in Tianjin and Suzhou,Jiangsu province,and its research and development centreat its operational headquarters in Shanghai.WuXi AppTecserves as an example of how hot Biotech stocks can become,as its share price soared from its initial price of USD 3.4 toUSD 20 only weeks after its debut.Rubius Therapeutics was the second largest listing on theNasdaq this year raising USD 277 million.The IPO was uniquedue the fact that the company is still preclinical and none ofits technology has been tested in humans.In terms of cross-border listings,UK company AutolusTherapeutics listed on Nasdaq for USD 173 million in June2018,with the funds raised set to help it develop treatmentsfor leukaemia and lymphoma.Share prices jump after issueThe major IPOs have seen their share prices rocket sincelisting but overall,of the 40 Biotech IPOs our index hasrecorded,50%were trading below their initial stock price 1month after pricing.Venture capital remains important to the Biotech sectorproviding a vital source of cash for research anddevelopment and helping drive valuations up.Around USD 2.2 billion was raised from venture capital-backed IPOs in 2018,the same as in 2017 and the highestlevel of capital raised in the last 5 years.Meanwhile,capital raised in VC-backed cross-border IPOshas been on a par with last year hitting the USD 594 millionmark,again the highest level of the last 5 years.Of the 18 VC-backed IPOs recorded,63%were trading abovetheir initial offering prices,illustrating how VC is positivelyimpacting the performance of fledgling Biotech firms.Strong investor appetite is fuelling thenumber of listings and valuations as the highrisk versus high reward model makes thebiotech sector an attractive area for both bigpharma looking to accelerate R&D andinnovation,along with VC/PE funds looking forthe promise of rich exits down the line.WhileNasdaq continues to be the most popularchoice for listings,it now faces competition forcross-border IPOs as the burgeoning growth ofChinese biotech means issuers will choose totake advantage of regulation changes in HongKong and list there instead.Ben McLaughlinGlobal Head of HealthcareStock ExchangeInsightImproved investor sentiment was behind a powerfulperformance on the Hong Kong Stock Exchange.Of the top 10 IPO destinations by capitalraised,5 are based in Asia Pacific(Hong Kong,Shanghai,Shenzhen,Australia and Japan),2 inNorth America(Nasdaq and NYSE),2 are inEMEA(Frankfurt and London),and 1 is in LatinAmerica(Brazil).When it comes to volume,6are based in Asia Pacific,3 are in NorthAmerica and 1 is in EMEA.Improved investor sentiment was behind a powerfulperformance on the Hong Kong Stock Exchange,which sawthe total value of listings jump by 124%on the year to USD36.6 billion,the highest of all global exchanges.The exchange benefited from a change to its listing regimeearlier in the year,combined with the weakness ofinternational bourses which have been impacted by tradingtension between the US and China.The NYSE and Nasdaq took second and third positionrespectively when it comes to capital raising.The NYSE recorded USD 32.7 billion,down 1%on the year(and 145%higher than 2016 when the US Presidentialelections were held),while the Nasdaq notched up USD 28.3billion,an impressive 69%jump year-on-year.The end of themid-term elections in the US could encourage companieswhich may have stalled their listings ahead of the vote tocome back to the market.PE and VC-BackedIPOsPatient capital contributes to slowdown in IPO exitsIn line with the overall market and a slowerpace of exits with higher value pricing,PE andVC-backed IPOs have suffered a decline involume in 2018,down by 44%,but capitalraising was up by 2%on 2017 with USD 72billion.Within that,VC-backed capital raising fell 14%,a slide whichwas only partially negated by an 22%increase in PE-backedIPOs.Part of the malaise in the market is the fact PE funds areholding assets for longer and that capital has becomepatient given the wider choice of investment vehicles whichhave come to the market in the last few years.Both buyoutfunds and others have been holding funds for double thetime than would have been traditionally witnessed.Also,there is plenty of capital being raised by buyout fundson the lookout for investment opportunities,providing cashfor companies that would otherwise have listed.Exits have also been slow from VCs but the dollar valueincreased,led by the software sector.However,a strongeryear is forecast in 2019 for exits with IPOs predicted fromboth Dropbox and DocuSign.Sector insightsThe highest number of PE/VC-backed IPOs was recorded inthe Healthcare and High Technology sectors in 2018 with 62and 60 respectively,(down from 74 and 97 in 2017).Capital raising by High Technology PE/VC-backed exitsincreased in value by 33%to USD 19.6 billion-the highestamong the sectors-while Healthcare PE/VC capital raisingincreased by 11%to USD 8.7 billion.Other strong performers include Retail(up by 95%to USD 7.9billion),Consumer Products&Services(up by 2%to USD 6.3billion),Telecommunications(up by almost 1,000%to USD5.6 billion),and Materials(up by 7%to USD 4.2 bi