Market Insights Financial Corporate Finance

Initial Public Offerings - Southern Europe

Southern Europe

The transaction value in the Initial Public Offerings market is projected to reach €4.67bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2025) of -10.92% resulting in a projected total amount of €4.16bn by 2025.
The average transaction value in the Initial Public Offerings market amounts to €53.54m in 2024.
From a global comparison perspective, it is shown that the highest transaction value is reached in China (€58,730.00m in 2024).

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Región

Comparación de regiones

Moneda

Analyst Opinion

The Initial Public Offerings market in Southern Europe is experiencing a surge in activity, reflecting a growing interest in investment opportunities in the region.

Customer preferences: Investors in Southern Europe are increasingly drawn to IPOs due to the potential for high returns and portfolio diversification. The allure of investing in newly listed companies with growth potential is driving demand in the IPO market.

Trends in the market: In Spain, there is a notable trend of technology companies opting for IPOs to raise capital for expansion and innovation. This trend is fueled by the growing tech sector in the country and investor appetite for disruptive businesses.

Local special circumstances: Italy is witnessing a unique trend where family-owned businesses are choosing IPOs as a way to transition ownership and raise funds for generational changes. This trend is reshaping the IPO landscape in Italy, with traditional businesses embracing the public markets.

Underlying macroeconomic factors: The recovering economy in Southern Europe, post the financial crisis, is creating a conducive environment for IPOs. With improving economic indicators and investor confidence, companies are more inclined to go public to capitalize on the favorable market conditions. Additionally, low-interest rates and ample liquidity are further supporting the IPO market growth in the region.

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.