Significant Increase in IPO Fundraising#
In early March 2026, Hong Kong's initial public offering (IPO) fundraising reached over HK$97 billion, which is about ten times the amount raised during the same period in 2025, according to Morgan Stanley. This surge in fundraising comes despite challenges in the city's markets, with the Hang Seng Index down by 1.6% and the Hang Seng Tech Index falling by 8.3% year-to-date.
Market Liquidity Boosts IPO Activity#
The increase in IPO activity can be attributed to improved market liquidity. The average daily trading volume has risen to HK$273 billion year-to-date, marking a 9% increase compared to the total for the entire year of 2025. This higher trading volume indicates that more capital is circulating in the market, which can encourage companies to go public.
CICC Leads the IPO Market#
China International Capital Corporation (CICC) is at the forefront of the IPO market, leading the league table with 12 sponsored deals out of a total of 28 transactions. CICC has captured a 27% share of the funds raised, maintaining the same market share it held in 2025. The firm’s focus has primarily been on sectors such as semiconductors, technology hardware, and artificial intelligence.
Strong Pipeline of Deals#
The IPO pipeline remains robust, with over 380 deals currently in progress. Onshore brokers are dominating this pipeline, with CITIC leading with 103 sponsored deals, closely followed by CICC with 102 and Huatai with 59. The average deal size in this period is approximately $560 million, which is 26% larger than the overall market average, indicating a trend toward larger fundraising efforts.