ASX is on track for its biggest year of Initial Public Offerings by volume since the mining boom in 2007. By capital raised, this year’s IPO market is the largest since 2014.
There have been 192 new listings on ASX so far in calendar-year 2021 . These listings have collectively raised more than $10 billion and had a market value on listing of over $40 billion .
The IPO pipeline is strong. More than 30 companies are expected to list on ASX in November and December, as shown in the ASX upcoming floats and listings page.
That includes several large IPOs. SiteMinder (ASX: SDR), the world’s leading open hotel commerce platform, listed on ASX this week through a $627-million capital raising. This continues a trend of companies that earn most of their revenue in global markets listing on ASX.
Employment and disability services group APM (ASX: APM) is set to commence trading on 12 November, having raised $982 million. Ventia Services Group (ASX: VNT) is another large upcoming listing. The essential-services provider is raising $300 million through an IPO and is expected to list in mid-November.
GQG Partners Inc (ASX: GQG) is this year’s largest listing by market value. The Florida-based asset-management firm was valued at $5.9 billion upon listing. GQG raised $1.18 billion in its IPO. Australia is an attractive market for asset-management firms given the valuation multiples that large ASX-listed asset managers trade on compared to their US peers.
Australasian steel distributor Vulcan Steel (ASX: VSL) listed on ASX on November 4 after raising $371.3 million through an IPO. The NZ-based company will be dual-listed on ASX and NZX. Vulcan adds to a growing number of NZ companies dual or sole listing on ASX to access a large capital base, and potentially achieve higher share liquidity and inclusion in key sharemarket indices.
Judo Capital Holdings (ASX: JDO) is another listings highlight. The financial-services provider raised $653 million and listed on ASX in early November. Judo’s market value on listing was $2.31 billion.
Step One Clothing (ASX: STP), an online retailer of men’s underwear, raised $81.3 million and listed on ASX in early November. Step One had a market value of $284 million upon listing.
Among other highlights, Clarity Pharmaceuticals (ASX: CU6) raised $92 million, making it ASX’s largest-ever biotech IPO by capital raised. The clinical-stage radiopharmaceutical company listed in August. Clarity Executive Chairman Dr Alan Taylor is interviewed in this edition of On The Board.
Also in biotech, Pacific Edge (ASX: PEB) listed on ASX in September with a $1.1-billion market value. The dual listed NZ-based company is developing a suite of bladder-cancer diagnostic tools.
Touch Ventures (ASX: TVL) was another key IPO. The Afterpay-backed venture capital firm raised $100 million and had a market value of $285 million upon listing in late September.
In Australian Real Estate Investment Trusts (A-REITs), HealthCo Healthcare and Wellness REIT (ASX: HCW) raised $650 million through an IPO and listed in early September. Focused on owning healthcare and wellness properties, HealthCo adds to the growing number of niche A-REITs on ASX.
A standout trend in 2021 has been the large volume of resource listings. Thirty-six mining companies listed on ASX between August and end-October, raising $255 million. The combined value of mining listings in that period was $672 million.
Li-S Energy (ASX: LIS), a developer of battery technology based on more advanced lithium-sulphur chemistry, was the largest energy-related IPO with a $34-million capital raising. Li-S listed in late September, continuing the trend of ASX-listed companies developing metals and battery technologies for electric vehicles. Li-S was valued at $544 million upon listing.
About 20 upcoming IPOs in November and December are for mining companies.