Market Insights Financial Corporate Finance

Initial Public Offerings - Germany

Germany

The transaction value in the Initial Public Offerings market is projected to reach €1,348.00m in 2024.
It is expected to show an annual growth rate (CAGR 2024-2025) of -3.56% resulting in a projected total amount of €1,300.00m by 2025.
The average transaction value in the Initial Public Offerings market amounts to €195.60m in 2024.
From a global comparison perspective, it is shown that the highest transaction value is reached in China (€58,730.00m in 2024).

Mercado

Región

Comparación de regiones

Moneda

Analyst Opinion

The Initial Public Offerings market in Germany is experiencing a surge in activity, with a notable increase in the number of companies choosing to go public in recent years.

Customer preferences: German investors are showing a growing interest in investing in IPOs, attracted by the potential for high returns and the opportunity to support local businesses. Additionally, there is a trend towards sustainable and socially responsible investing, influencing the types of companies that are choosing to go public.

Trends in the market: One of the prominent trends in the German IPO market is the rise of technology and digital companies going public, reflecting the country's position as a hub for innovation and technological advancement. Furthermore, there is an increasing number of mid-sized companies opting for IPOs to raise capital for expansion and strategic initiatives.

Local special circumstances: Germany's strong economy and stable political environment make it an attractive location for companies seeking to go public. The country's well-established financial infrastructure and investor protection regulations provide a level of security and confidence for both issuers and investors participating in IPOs.

Underlying macroeconomic factors: The low interest rate environment in Germany is encouraging companies to consider IPOs as a means of raising capital at a relatively lower cost compared to traditional financing options. Additionally, the robust performance of the German stock market and the presence of institutional investors with a strong appetite for new listings are contributing to the buoyancy of the IPO market in the country.

Methodology

Data coverage:

Figures are based on the revenue generated by the Investment Banking market, as well as the transaction value, the number of transactions, and the average transactions size of the Mergers and Acquisitions (M&As) and Initial Public Offerings (IPOs) markets.

Modeling approach / Market size:

Market sizes are determined by a bottom-up approach and are based on a specific rationale for each market. As a basis for evaluating markets, we use market research and analysis, as well as data from annual financial reports. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus, such as GDP, wealth per capita, and total investment (% of GDP). This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita and total investment (% of GDP).

Additional Notes:

The market is updated twice per year in the event that market dynamics change.