Global IPO markets have had a comparatively positive start to 2024 after a challenging year. Investors and IPO candidates hope that stable interest rates and pent-up demand will support an increasing flow of IPO activity in the months ahead

There is no escaping that 2023 was challenging for global IPO markets. Last year, our Global IPO Report anticipated that rising interest rates and uncertainty about the inflationary outlook would have an adverse impact on IPO activity. In 2024, as interest rates stabilize and macroeconomic conditions improve, IPO volumes are set to recover. Businesses that have been on the defensive are gradually shifting their strategic focus back to growth and eyeing IPOs to fund their plans. And private equity firms are lining up IPO candidates to start to clear the backlog of unexited assets that have accumulated during the past two years.

Moreover, IPO candidates in select jurisdictions will benefit from the steps taken by regulators to make their listings regimes more attractive, with investors and businesses welcoming the reforms in the UK and Hong Kong, as their aim is to attract more IPOs.

No one is getting carried away. However, after a tough 2023, it is safe to say that global IPO markets are in a much stronger position today than a year ago.

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