Nearly half of IPOs listed since 2020 have halved their issue price

Investment potential remains

Nearly 50% of IPOs in the UK, US and Europe listed since 2020 have at least halved its issue price, analysis by Edison Group reveals.

According to the analysis, covering the 1,205 non-SPACs listed on exchanges in the UK, US and Europe, almost 84% of these IPOs are now trading below issue price, while 94 are down by at least 90%. The firm said that the "IPO apocalypse" is not only caused by tech companies, as healthcare, consumer staples, communication services and consumer discretionary sectors have also underperformed significantly.  In contrast, energy IPOs have been standout performers, trading above 40% on average, while utilities have also proven relatively defensive. Number of IPOs on London Stock Exchange ...