Global uncertainty hits European flotations market
London was “especially impacted”, down 66 per cent to €1.2 billion (about £900 million) and representing only 11 per cent of European IPO activity, says the report from business advisory and accountancy major, PwC.
The rest of Europe fared better, with IPO proceeds down 6 per cent to €9.7bn. PwC’s latest IPO Watch predicts that flotation proceeds are unlikely to exceed €25bn by the end of 2016 following the UK’s Brexit vote – less than half of 2015 when €57.4bn was raised by companies seeking a public listing.
However, the group says there may be an “uptick” in activity towards the end of the year if economic conditions improve.