Following a resurgence in IPO activity in the second half of the year, the Hong Kong Stock Exchange is expected to rank third globally in terms of total funds raised in 2022. With a solid pipeline of companies planning to list in the year ahead, the Hong Kong IPO market is expected to continue this momentum into 2023.

The top two rankings are taken by the Shanghai Stock Exchange and Shenzhen Stock Exchange, and the A-share market is the key driver for the global IPO market in 2022, accounting for nearly half of total proceeds, according to KPMG’s latest report Chinese Mainland and Hong Kong IPO Markets 2022 Review and 2023 Outlook.

The Chinese Mainland and Hong Kong IPO markets have performed relatively well amid a broader environment of geopolitical and economic uncertainty. Global markets have seen a drop in IPO activities in 2022, with the number of deals and total proceeds falling by around 50% and 60%, respectively. This has been led by declines in major stock exchanges: proceeds from IPOs in the United States stock exchanges dropped by over 90%.