The 2022 initial public offerings (IPO) market in Australia had a challenging second half of the year. A number of contributing factors saw IPOs drop significantly, with just 28 listings between July and December compared to 59 in the first half of the year.
Download HLB Mann Judd’s annual IPO Watch Australia Report, an analysis of IPO activity over the past 12 months. The report addresses key data points and explores themes arising from market activity.
2023 Report Summary
* Large cap companies are defined as those with a market capitalisation in excess of $100 million. Small cap, companies are defined as those with a market capitalisation of $100 million or less. All data excludes property trusts.
First published in 2004, IPO Watch Australia is a benchmarking-based report. The research, led by HLB Mann Judd Perth, analyses Australian listing activity. The primary report is released in January each year, analysing IPO activity over the previous 12-month period. A short-form report is published in July and it focuses on market activity for the first six months of the year (IPO Watch Australia Mid-Year Report). The reports are authored by Corporate & Audit Services Partner, Marcus Ohm.
This year's IPO Watch Australia Report includes commentary and data analysis on the following:
We offer a comprehensive range of professional services to listed clients and companies considering IPO, including:
Learn more about our corporate advisory expertise.
Of the 87 listings during 2022, there was a considerable weighting towards the first half of the year which saw 59 listings, comparable to 2021’s 61 listings. The June quarter had the highest number of new listings.
A total of 12 industry sectors saw new listings in 2022, a fall from 21 in the previous year. The Materials sector represented 72% of all listings. 61 of the 63 Materials listings were small cap companies. Gold and battery metals, in particular lithium, were popular commodities for exploration listings.
55% of new listings posted a first day gain. Despite a few exceptional year end results, all new listings averaged a year end loss of 2%. Entrants from the Diversified Financials sector struggled during the year, with all three companies posting a first day loss which increased to over 80% at year end.
¹Average gain/loss relative to listing price for all new IPOs listed in the respective period.
Only 70% of new listings successfully raised their intended amount. A contrast to 87% of listings meeting their targets in 2021. Further, the percentage of companies meeting their target subscription rates fell below the five-year average of 81%.
¹Based on the funds target being the midpoint of any allotment range (some companies do not have a range). This means actual fundraising can exceed "targeted" fundraising (i.e. oversubscription).