2009 US IPO watch report: Analysis and trends

2009 US IPO watch report: Analysis and trends
Download 2009 US IPO watch report: Analysis and trends

US IPO Watch is an annual report providing analysis and trends of IPOs listed on US exchanges. Topics covered include analysis of the Top 10 US IPOs, IPOs by industry, financial sponsor-backed and non-US issued IPOs, and perspective on how the US IPO markets have fared compared to global markets.

After a dismal performance in 2008, the US initial public offering (IPO) market began to rebound in 2009. As markets began to stabilize in the second quarter, the pace continued to accelerate. While 2009 was by no means a banner year for US IPOs, clear signs have arisen that an increasing number of companies across a variety of industries, both domestically and internationally, are planning to tap the public equity markets for capital during 2010.

Factors impacting IPO activity in 2009 include:
  • Financial sponsor-backed IPOs, which represented more than half of all deals in 2009, nearly tripled in volume and quadrupled in value compared to 2008
  • Proceeds raised by non-US issuers represented 36.7 percent of total proceeds in 2009, compared with just 6.3 percent in 2008
  • IPO markets around the globe witnessed an increase in volume and value in 2009, with the China market generating $59.7 billion though 208 IPOs
IPO activity is expected to continue to rise in 2010, particularly from the technology, financial services, healthcare and retail and consumer sectors. Although a recovery of the US IPO market has taken hold, some companies are encountering challenges. Companies planning IPOs in 2010 will need to establish realistic expectations of their value and ensure they have the ability to meet near-term market expectations. Anticipating business risks and developing programs for managing such risks early in the IPO planning process will help companies navigate successfully in today's environment.