28 Apr 2017

Equity Primary Markets and Trading Report Q1 2017

 Key highlights:

  • Equity underwriting (IPOs, follow-ons and convertibles) on European exchanges accumulated a total of €56.9 bn in proceeds in Q1 2017, a 41% increase from the value originated in Q4 2016 (€40.4 bn).
    • The increase was largely driven by an 84% quarter-on-quarter (QoQ) growth in secondary (follow-on) offerings.
    • IPO proceeds declined 50.2% compared to the volume originated in Q4 2016, although grew 31.9% against Q1 2016.
    • IPO proceeds on Junior Markets increased 37.8% from the volume of Q4 2016.
  • Completed Mergers and Acquisitions (M&A) of European companies totalled €193.2 bn in Q1 2017, a decrease of 36.8% from the value of completed deals in Q4 2016 (€ 305.7 bn).
    • The decline was driven by a 57% QoQ decrease in intra-European deals and a decrease of 54% QoQ in strategic deals.
    • Private Equity-backed deals (or Sponsor deals) grew 106% against the volume of Q4 2016.
  • Equity trading activity on European main markets and MTFs generated a total of €2.93 in turnover value in Q1 2017, a slight increase of 2.5% from the value traded in 4Q 2016 (€ 2.85 tn).
  • Market capitalisation of European listed shares stood at € 12.6 tn at the end of Q1 2017, an increase of 3.8% from the market value at the end of 2016 (€12.1 tn).