According to the Dealogic analytical platform cited by the Financial Times, the number of companies listing shares on the stock exchange has decreased from 628 to 157. There were 596 IPOs worldwide against 1.2 thousand in the first five months of 2021. Companies raised $81 billion, down 71% from five months of 2021.
Of the ten largest IPOs since this January, only two placements have taken place on US and European stock exchanges. The American investment company TPG raised $1 billion on the Nasdaq exchange, the Norwegian oil and gas producer raised $880 million on the stock exchange in Oslo.
The Ukrainian crisis prevented companies from entering the stock exchange this year. Market volatility and the threat of a global recession were also reasons. While in 2021, the companies implemented plans that were postponed in 2020 due to the covid pandemic.
Experts believe that the restoration of activity will come after the stabilization of the situation. However, it is likely that a significant part of the listings can be transferred to the next year - until better conditions appear.
Recall that an IPO is a process of initial placement of a company's shares on the stock market. The first investors purchase securities directly from the issuer, and the company receives funds for development.