- NYSE Leads U.S. IPO Market By Capital Raised and By Number of Transactions -
- NYSE Leads World in Listing Technology and PE-Backed IPOs -
- Chinese IPOs Build on Last Year’s Strong Activity -
- European Market Increases Small and Medium Enterprises (SME) Listings -
NYSE Euronext (NYX) led the global market for listing Initial Public Offerings (IPOs) in the first half of 2011 with $25.40 billion in total capital raised on its European and U.S. markets, more than any exchange group in the world. During the most recent quarter, the New York Stock Exchange (NYSE) led the U.S. IPO market, with 35 IPOs raising $10.63 billion, or 73% of total proceeds raised from IPOs in the U.S. Furthermore, this added to NYSE’s recent gains in listing of technology and VC-backed IPOs as well as private equity funds and enterprises from Argentina, Canada, China, France, Greece, Korea and Netherlands, underscoring the NYSE as the leading listing venue for global IPOs.
“We have seen IPOs coming from every sector, every region of the globe, and all types and sizes of companies including high-growth, technology and VC-backed enterprises,” said Scott Cutler, Co-Head of U.S. Listings and Cash Execution, NYSE Euronext. “It’s a healthy pipeline despite the continuing economic uncertainty. The issuer community is attracted to our global brand, network and technology platform, and looks to us as a true partner in driving value. In the months ahead, we expect to see new listings from quite a broad-based representation of sectors.”
The number of IPOs backed by venture capital and private equity funds listed on the NYSE has significantly increased, including LinkedIn (NYSE: LNKD), Freescale Semiconductor (NYSE: FSL), Bankrate (NYSE: RATE), and Vanguard Health Systems (NYSE: VHS). On May 18, LinkedIn IPO became the biggest Internet IPO since Google Inc.'s debut in 2004.
The NYSE has welcomed 5 transfers from Nasdaq with total market capitalization of $4.01 billion thus far in 2011, and lost none. In addition, SuccessFactors Inc. announced it will transfer its listing from Nasdaq to the NYSE and cross-list on the European markets of NYSE Euronext. This follows the active trend for transfers, with 40 companies transferred to the NYSE from Nasdaq since 2007.
NYSE Captures Increasing Market Share in Listing Technology-Based Companies
NYSE has steadily captured share in attracting technology-based IPOs with its commitment to partner with growth companies. NYSE has listed 17 out of 31, or 55% of the tech IPOs YTD, up from 44% in 2010. LinkedIn, Active Network, Fusion-io and Pandora’s offering came amid a recent fervor for high-profile tech IPOs. Shares of Pandora, the online radio service provider, opened at $20 each, up from an offering price of $16, raising $235 million as the company met the latest wave of interest in Internet-related businesses.
Chinese IPO Momentum Builds on Last Year’s Strong Activity
With a record of 22 Chinese IPOs last year, the NYSE maintains its leading position in attracting Chinese listings this year with 5 Chinese IPOs raising $742.86 million in the second quarter. Almost half of the IPOs from China YTD come from the TMT sector (Technology, Media and Telecommunications). Qihoo 360 Technology (NYSE: QIHU), which offers a safe web browser and other Internet security products in China, soared 134% in its trading debut on Mar.29, making it the third best first day gain for a U.S. listed IPO in the last 10 years. Renren Inc (NYSE: RENN), one of the biggest social networking companies in China, became the first social networking service (SNS) company to get listed on the U.S. market on May 4.
Increased Listings of SMEs on NYSE Euronext European Market
During the first 6 months of 2011, NYSE Euronext’s European market continued to welcome small and medium enterprises (SME) listings. Out of 29 new listings, 24 are SMEs from different countries of origin and business sectors, raising ?58 million.
“Primary activity is slowly taking off again in Europe, amid difficult market conditions, and investors are still cautious with their investments. Nevertheless, 29 exciting newcomers were introduced to our European market during the first 6 months of 2011, including a good deal flow of SMEs and high profile direct listings, boosting market capitalization by over ?19 billion,” said Ronald Kent, Group Executive Vice President and Head of International Listings at NYSE Euronext. “Although uncertainty persists, we see a positive outlook for the rest of the year with many other companies interested in the access to capital and international profile that joining our European market can provide.”
Complementing SMEs, the European market welcomed high-profile listings including two cross-listings, global companies Coca-Cola Enterprises and Hexcel Corporation, as well as two large spin-offs, Aperam (ex- ArcelorMittal, ?2.2 bn market cap at listing) and TNT (ex- PostNL, ?4.8 bn market cap at listing) and the new listing of Areva representing a market capitalization of ?11.5 billion.
About NYSE Euronext
NYSE Euronext (NYX) is a leading global operator of financial markets and provider of innovative trading technologies. The company's exchanges in Europe and the United States trade equities, futures, options, fixed-income and exchange-traded products. With approximately 8,000 listed issues (excluding European Structured Products), NYSE Euronext's equities markets — the New York Stock Exchange, NYSE Euronext, NYSE Amex, NYSE Alternext and NYSE Arca — represent one-third of the world's equities trading, the most liquidity of any global exchange group. NYSE Euronext also operates NYSE Liffe, one of the leading European derivatives businesses and the world's second-largest derivatives business by value of trading. The company offers comprehensive commercial technology, connectivity and market data products and services through NYSE Technologies. NYSE Euronext is in the S&P 500 index, and is the only exchange operator in the Fortune 500. For more information, please visit: http://www.nyx.com.
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NYSE Euronext and its affiliates do not recommend or make any representation as to possible benefits from any securities or investments, or third-party products or services. Investors should undertake their own due diligence regarding their securities and investment practices. This press release may contain forward-looking
statements, including forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements concerning NYSE Euronext’s plans, objectives, expectations and intentions and other statements that are not historical or current facts. Forward-looking statements are based on NYSE Euronext’s current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Factors that could cause NYSE Euronext’s results to differ materially from current expectations include, but are not limited to: NYSE Euronext’s ability to implement its strategic initiatives, economic, political and market conditions and fluctuations, government and industry regulation, interest rate risk and U.S. and global competition, and other factors detailed in NYSE Euronext’s reference document for 2010 ("document de reference") filed with the French Autorite des Marches Financiers (Filed on April 19, 2011 under No. D.11-0333), 2010 Annual Report on Form 10-K and other periodic reports filed with the U.S. Securities and Exchange Commission or the French Autorite des Marches Financiers. In addition, these statements are based on a number of assumptions that are subject to change. Accordingly, actual results may be materially higher or lower than those projected. The inclusion of such projections herein should not be regarded as a representation by NYSE Euronext that the projections will prove to be correct. This press release speaks only as of this date. NYSE Euronext disclaims any duty to update the information herein.