London Stock Exchange (LSE) companies have raised the most IPO funding in one year than in the last 14 years.
Combined the 122 companies listed on the LSE raised over £16.8bn in 2021 – beating competition from the top exchange in Europe and raising the most equity outside of the US and China. The LSE’s total capital raised in the year hit just shy of £50bn, made up from £16.8bn in IPOs and the rest in additional offerings by existing listed companies.
The news marks a strong first year for the capital markets unit of the LSE Group (LSEG). Group head of the division, Murray Roos, said: “The integration of Refinitiv brought our FX, fixed income, and equities businesses together to form LSEG’s capital markets division.”
The businesses have enjoyed strong growth, new customers and record figures, he added, referring to total FX volumes surpassing $680bn – a new daily record.
The news comes as capital raising in the City has picked up in spite of ongoing Covid disruptions and as listed firms drew close to £25bn in this year.
The year was also the biggest in over a decade for AIM, London’s growth market, with £9bn raised in IPO and follow-on capital – also the highest since 2007. The boom was driven in part by a rush of activity with 64 companies admitted in 2021 raising more than £3bn.