2021 was quite a year for initial public offers (IPOs) in the United States, which was largely influenced by the significant rise in the number of special purpose acquisition companies (SPACs) who went public. In 2021, there were ***** initial public offerings (IPOs) in the United States. In 2022 and 2023, however, the number of IPOs dropped to *** and *** respectively. 2024 saw a rise in the number of IPOs, reaching *** by the end of the year. What does it mean to go public? The management of a private company has a lot of control over its operation, but raising funds from investors is more difficult. To access funds from regular investors, that is the general public, firms go public by offering stock shares at a certain price. As a result, these firms often have more capital to work with. An IPO can, and often does, raise ******** of dollars for a firm. However, publicly traded companies also face increased regulation and disclosure requirements. Staying private Some firms delay going public for a longer time, in spite of their increasing value. If their valuation goes above *********** U.S. dollars, these firms are called unicorns, and the highest valued unicorns are mostly based in the U.S. and China. Some firms, such as SpaceX, are still heavily investing in research and development projects, which shareholders often dislike due to low short-run dividends. At the moment, most unicorns are found in the technology sector, which is also the leading sector for IPOs in the United States. This indicates that investors consider this to be the industry most likely to see growth, and thus most worth investing in when companies go public.

Not all IPOs result in long-term gains for the respective company; however, the average year-end gains for all companies that went public in the United States have been mostly positive each year over the past decade. In 2023, however, the average returns amounted to a negative 56 percent in the first year after their IPO.

2020 and 2021 were a record year for SPAC IPO filings, even though they had been steadily growing in popularity over the last decade. In 2021, SPACs had raised capital in 613 IPOs in that year alone. A special purpose acquisition company (SPAC) is a company with no business operations which is set up for the sole purpose of raising capital through an initial public offering with the goal of buying an existing company. The U.S. ranked second globally in terms of traditional IPO numbers, with the highest number of traditional IPOs occurring in mainland China. In comparison, there were 31 SPAC IPOs in 2023, and 57 in 2024.. How have SPAC IPOs historically performed in the U.S.? From 2003 to 2019, the funds raised by SPAC IPOs remained somewhat consistent, with the value of funds never exceeding 11 billion U.S. dollars except in 2003 and 2019. SPAC IPOs raised the largest amount of funds between January and December 2021, with the value of funds raised surpassing 160 billion U.S. dollars. In the previous year, SPAC IPOs raised more funds than all preceding years combined. The U.S. vs Europe While SPAC IPOs in the U.S. have been slowly increasing over the past six years, numbers have remained significantly lower in Europe. Europe has still not seen annual SPAC IPO numbers exceed nine per year, while those in the U.S. have increased more each year, reaching a significant high-point in 2020 that is expected to be further surpassed by the end of 2021. During the first three months of 2021, less than five percent of SPAC IPOs completed globally came from Europe.

In the fiscal year of 2023, the total value of all initial public offerings in the Gulf Cooperation Council was 10.6 billion U.S. dollars. This was a significant decreased compared to the 23 billion U.S. dollars in 2022. Finance industry in GCC Low interest rates and low oil prices stimulated a frenzy of debt activity in 2020 and Q1 2021, including multiple government issuances. With oil prices steadily recovering, we may see a short-term adjustment in national debt activity. On the Dubai Financial Market (DFM), the UAE's first initial public offering (IPO) in three years emerged. Al Mal Capital REIT was the exchange's first real estate investment fund offering, generating 95 million U.S. dollars. During the year, the UAE introduced several reforms relating to corporate ownership and listing standards, all of which are expected to boost IPOs on local stock exchanges. The value of domestic initial public offerings in the United Arab Emirates was expected to reach 0.5 billion U.S. dollars by 2022. The largest number of IPOs in the GCC region in 2019 was in the consumer goods industry. Islamic fintech The Islamic fintech industry is anticipated to develop rapidly. Islamic fintech is characterized as a financial technology segment that adheres to Sharia law's rules, which include prohibitions on earning from debt, paying interest, and investing in firms associated to alcohol, tobacco, and gambling, among other restraints. In 2020, Saudi Arabia had the largest fintech market, at over 18 billion U.S. dollars.

In 2024, the total value of traditional IPOs in the United States increased slightly but remained one of the lowest figures since 2000, amounting to **** billion U.S. dollars. The gross proceeds for 2022, on the other hand, amounted to *** billion U.S. dollars, the lowest figure ever recorded during this period. However, SPAC IPOs proceeds amounted to *** billion U.S. dollars in 2024.

More initial public offerings (IPOs) occurred in India in 2024 than any other region or country worldwide, with ***. The United States followed, with *** IPOs in that year. The ASEAN countries rounded up the top three, with a combined number of IPOs amounting to ***. Why make an IPO? Private companies have a lot of control over their companies, but their funding sources are limited. While some of these companies have achieved valuations over one billion U.S. dollars, called unicorns, most have trouble finding the cash to grow their business. To open themselves to public investors, they make an initial offering of shares of stock. The largest IPOs are worth billions of U.S. dollars. Timing is everything The timing of an IPO can have a huge impact on its performance, which is as important for investors as it is for the companies themselves. As such, many investors watch to see who is next in line to make an IPO. The right play at the wrong time is the wrong play and might result in a negative return. While underwriters and consultants can mitigate some risk factors, markets are inherently unpredictable. As such, an IPO always carries risk, with hopes of the reward of an infusion of capital.

From 2010 to 2019, the number of initial public offerings (IPOs) on the Nasdaq Stock Exchange fluctuated. After that period, sharp increases were recorded for the number of deals. The largest jump in number of IPOs was in 2021 when deal volume peaked at 753. In the following years, however, the number of IPOs decreased and amounted to 171 in 2024.

The total number of initial public offerings (IPOs) in Europe fluctuated significantly between 2009 and 2024. The number of IPOs reached a total of ** in 2024, the same as during the previous year. The largest number of initial public offerings (IPOs) in Europe was found in 2011, when the number of recorded IPOs reached a total of ***.

In total, the number of initial public offerings (IPOs) on the London Stock Exchange (LSE) in 2024 was **, less than the number of IPOs of 2023. Among these, more than half of the IPOs took place on the alternative investment market (AIM).

At nearly ** billion U.S. dollars, the 2014 initial public offering (IPO) of Alibaba Group Holding Limited remains the largest IPO in the United States ever. Trailing by almost **** billion U.S. dollars, Visa takes second place, followed by ENEL SpA, an energy company based in Italy. What is an IPO? An IPO is when a private company offers shares to the public for the first time through a stock exchange. Companies do this to raise money, as seen with Alibaba. However, public companies are subject to more scrutiny, such as publishing quarterly reports for investors. Also, not all IPOs are profitable. A bad IPO can result in significant losses. Companies that could go public Unicorns are private companies valued over a billion U.S. dollars. Any of these could go public, raising significant funds. However, most IPOs are valued in the ********, not ********. The median deal size of these offerings in the United States tends to be a little more than *** million U.S. dollars. Investors keep a watch for the next IPO, since a strong offering means high returns for those who buy the stock early.

Between 2011 and 2017, value of initial public offerings (IPOs) on the Nasdaq stock exchange fluctuated. After 2018, increases in IPO values accelerated. In both 2020 and 2021, the size of IPO deals more than doubled compared to the previous year. Since then, however, IPO deal value on the Nasdaq stock market decreased sharply and went back to pre-2018 levels.

Between 2022 and 2023, the number of initial public offerings (IPOs) globally decreased by eight percent, which was five times less than the decline in the previous year. The Americas and EMEIA, which experienced the steepest declines in 2022, saw increases of 15 percent and seven percent, respectively, in 2023. The year-on year change in IPO proceeds in each region exceeded the decrease in the number of IPOs, except for the Americas.

In 2023, a total of 414 companies went public on stock exchanges in Greater China. The number was lower than in the previous year despite the economic recovery after the outbreak of COVID-19. In recent years, stock exchanges in mainland China were able to increase their attractiveness for Chinese companies. As a result, more companies list on domestic stock markets.

In 2015, the biotech industry in Europe and the U.S. raised some *** billion U.S. dollars in IPOs combined. The amount reached an ultimate peak in 2021, with almost ** billion dollars. However, a huge dropdown to around *** billion dollars followed in 2022. On the other side, 2023 and 2024 again showed a decent growth to *** billion and * billion dollars, respectively. This statistic shows the combined amount raised in biotechnology IPOs in the United States and in Europe from 2015 to 2024.

Between 2011 and 2019, the value of initial public offerings (IPOs) on the New York Stock Exchange fluctuated. After 2019, IPO deals value increased considerably. In 2020, the size of IPO deals increased threefold compared to the previous year. In 2021, IPOs deals on the NYSE reached a total value of 109.2 billion U.S. dollars.

In 2024, the value of IPOs on the Deutsche Börse was 1.5 billion U.S. dollars. The size of IPOs on the Frankfurt Stock Exchange (Deutsche Börse) reached a 20-year peak in 2018, then decreased tenfold by 2020. In 2022, Porsche's IPO, the only IPO on the Frankfurt Stock Exchange that year, raised over nine billion euros. The IPOs displayed refer to the EU regulated market (Prime Standard), which is an organized market as well as a legally regulated stock segment where conditions for approval and follow-up obligations are also regulated by the law.

In 2024, the value of initial public offering funds raised at the Hong Kong Stock Exchange amounted to almost 87 billion Hong Kong dollars, which was a significant increase of almost 89 percent to the previous year. The value of IPO funds increased despite the global outbreak of COVID-19. In the same year, the largest IPO was China Tourism Group Duty Free Corporation which raised over 18 billion Hong Kong dollars.

In 2023, 243 Indian companies raised over 8.4 billion U.S. dollars through initial public offerings (IPO) in public markets. Although the number of IPOs was much higher than the previous year, companies raised a higher amount in 2022.

Cit was the underwriter of the initial public offering (IPO) of Saudi Aramco in April 2019. At almost 29 billion U.S. dollars, this was the largest all-time IPO globally as of October 2021. This was followed by Alibaba's 2014 IPO worth just over 21 billion U.S. dollars, underwritten by Credit Suisse.

Who were the leading underwriters in the U.S.?
Underwriting is the process through which an investment bank (the underwriter) acts as a broker between the issuing company and the investing public to help the issuing company sell its initial set of shares. As of October 2021, the underwriters of the largest IPOs in the United States were Goldman Sachs, Credit Suisse, and JP Morgan – the combined value of their underwritten IPOs reaching almost 70 billion U.S. dollars. When taking a company public, investment banks charge underwriting fees, which are the largest single direct cost associated with an IPO. In 2020, the underwriting fees for deals in the U.S. which were valued between 500 million and one billion U.S. dollars, amounted to more than five percent of the gross proceeds from the offering.

What does the global IPO market look like? Going public is typically a way for private companies to raise capital for expansion, although venture capitalists can also use IPOs as exit strategies. In 2020, mainland China had the largest number of traditional IPOs than any other region worldwide. This was followed by the United States, which saw a significant increase in the number of IPOs that year.

IPO activity on the B3 stock exchange in Brazil increased significantly in 2021. Throughout the year there were 45 IPOs. By contrast, in 2022 and in 2023, there were no initial public offering (IPO) on the Brazilian stock exchange.