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Lseg signs are seen on the screens in the lobby of the London Stock Exchange in London, Britain, May 14, 2024.
Hannah McCay | Reuters
The problem in the London list is not limited to the capital, with weakness in the US and Asia, also, reports the head of the London Stock Group.
According to EY, only 18 initial public proposals took place on the London Stock Exchange last year – eight of which took place in the fourth quarter.
But Lseg CEO David Swimer said this was not a unique problem.
“We saw a global basis, a rather muted IPO setting, and it was in New York, it was in Hong Kong,” he said CNBC. “It’s a lot of attention.”
This led to the problems that London loses – or lost – his mojo. A mining gigan Glencore thinks away after loud missions from similar Fun penetration. Thuj and Just eat away. In fact, LSE lost 88 companies last year, whether when removing or transferring primary lists elsewhere – the highest since 2009.
The Swimer had a warning for those looking elsewhere.
“When you talk about companies that went to New York, it’s not such a beautiful picture,” he said “Squawk Box Europe”.
“If you look over the last 10 years, 20 British companies have gone on the list of New York and raised more than $ 100 million. Of these 20, four are traded, something like nine listed, and the rest are more than 80%. So I think you should be careful if the grass is always green.”
The EURONEXT CEO STéphane Boujnah expressed his own concern about the capital of the UK, informing “Squawk Box Europe” CNBC that “London lost its leadership when it comes to liquidity.”
Pipeline
Despite the fact that last year, the London List is submitted by many decades with revenue almost fifth compared to 2023 .—- LSEG chief is optimistic for this year, saying that the pipeline looks much better. And LSEG chief is optimistic for this year, saying that the pipeline looks much better.
“If you look at the increase in the capital that occurred on the London Stock Exchange, it is not necessarily an IPO, but the following, this market is very, very well, and more capital raised on the London exchange than the next three European exchanges,” Schwimierz said.
Goldman Sachs Also shares the bull’s view of the IPO landscape in the UK. Richard Kormak, Head of the EMEA Capital Action Department in Goldman Sachs, said he expected the IPO in 2025, because political uncertainty after the last year’s election was burned.
While some UK and European companies may still be attracted to the US, the feed claimed that we would hardly see the flood of UK or European non-technological companies that are not biopharmal outside their home market.
Return Hong Kong?
The idea that the United States is a place for cross-border lists was also challenged by a new competitor on stage: Hong Kong.
A city preparing for the revival of $ 20 billion this year According to Financial TimesReady to take advantage of increasing trade tensions between the US and China.
Stock in the largest China Tea Chain Bubbles, Mixue, increased over 40% on Hong Kong debut Earlier this month. The Hong Kong list has been 5200 times signed, while the international proposal was more than 35 times signed.
Bonnie Chan, CEO of Hong Kong Exchange and Clearing, said “Squawk Asia” CNBC“ She saw a surge of demand from world investors.
“We are seeing a much stronger interest from the US, as well as Europe and the rest of the world,” she said. “It is known that investors have an appetite to pick up these mega -ipo.”
