INITIAL OFFERINGS NEWSLETTER - SPRING 2018

U.S. IPO Market Shakes Off Stock Volatility to Achieve Strong Growth in Q1 Of 2018

Number and Size of Offerings Point to Promising Forecast for Remainder of Year

After two years of diminishing activity, initial public offerings (IPOs) bounced back significantly in 2017 and that momentum has carried over into 2018.  Through the first quarter of the year, offerings (+ 76%), proceeds (+57%) and filings (+ 16%) are up substantially year-over-year from 2017.* 

The year kicked off with a record January, as 17 offerings generated more than $9 billion in proceeds.  It was also the most proceeds for any month since September 2014 when Alibaba went public. 

The stock market correction of early February was a major scare, causing some companies to postpone their offerings, but activity began to pick-up through the remainder of the quarter.  Q1 closed with a flurry of activity, as 8 offerings priced in the final week of March.

Overall, the 44 offerings in Q1 were the most since 2014 (64), a year that would become the best year for U.S. IPOs since the dotcom boom at the turn of the century.  The $15.6 billion in IPO proceeds were the highest for a first quarter since 2008 when VISA’s massive IPO pushed Q1 proceeds to $19.1 billion.  

READ THE COMPLETE NEWSLETTER ON BDO.COM