Reported about 1 year ago
According to the latest report by global accounting firm Deloitte, the total value of Southeast Asia's IPO market plummeted by 71% to $5.8 billion in the first half of this year, continuing the downturn that began in the second half of 2022, with Indonesia experiencing the most severe decline. However, Deloitte expects the situation to improve next year due to increased expectations of interest rate cuts and AI-related companies going public, potentially boosting the IPO market in the region. The report shows that there were only 67 IPOs in Southeast Asia in the first half of this year, a 21.2% decrease compared to the same period last year. These IPOs raised a total of $1.4 billion, a steep 53.3% year-on-year decrease. Deloitte noted the absence of heavyweight IPOs in the first half of this year and the significant drop in IPO value and fundraising compared to the previous year. Despite the current downturn, Deloitte believes that the IPO market in the region is expected to improve after 2024. Tay Hwee Ling from Deloitte explained that the expected future decrease in interest rates will encourage REITs to return to the market and AI-related IPOs may also emerge, leading to more innovation and opportunities in the Southeast Asia IPO market in the coming years.
Source: YAHOO