Source: Reuters/Aly Song Lightning is seen above buildings during a storm in central Shanghai Anyone with a vested interest in Asia’s equity-capital markets must be finding it tough to stay optimistic. Companies have been forced to pull deals all over the place, with another four falling by the wayside last week alone. Slumping revenues are forcing bankers to rethink the way they allocate resources to Asian ECM – traditionally, the cash cow of investment banking in the region. The global turmoil that has derailed so many listings is showing...Read more
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Tough new regulatory proposals in Hong Kong will mean bankers will no longer be able to plead ignorance when an IPO prospectus contains misleading information. While the measures aim to restore confidence after a series of scandals, the threat of jail terms has serious implications for future deal-making.
Asian regulators are pushing companies to lift free floats to boost stock market liquidity. While there are implications from so much equity hitting the public markets, the flurry of re-IPOs offers a ray of hope for deal-starved bankers across Asia.
The Hong Kong exchange was the listing venue of choice for some of the world’s top international IPOs last year, but 2012 has been a very different story.
After playing second fiddle to Hong Kong for so long, the Singapore Exchange has found its niche. The slew of foreign issuers looking to list on the SGX this year has underlined its growing appeal as a global listing destination.
The government’s privatisation programme has stalled since the IPO of airline Garuda left domestic bookrunners stuck with unsold shares. Now that hurdle has finally been removed, hopes are high that the booming South-East Asian economy will become a major player in the regional equity markets.
Bursa Malaysia, traditionally one of Asia’s quieter exchanges when it comes to new listings, is set to play host to some of the largest IPOs in Asia this year. What is behind this sudden resurgence?
Even as investors retain an appetite for high-yield bonds and dividend plays remain popular in the equity market, has the equity-linked market not taken off so far this year. Most new issues have disappointed and investors are wary of getting bitten again.
