Equity Capital Markets
A total of $952 million has been raised in the Asian equity capital markets through 12 deals this week, down from the $6.8 billion via 31 deals completed in the prior week. Of the 12 deals priced this week, Shanghai Flyco Electrical Appliance’s $128 million IPO is the largest IPO to complete this week on April 1st, 2016 and marks the tenth biggest new listing* in the region so far this year.
1Q 2016 Asia (ex Japan) ECM volume stood at $51.9 billion, down 10% year-on-year and the lowest 1Q total since 1Q 2014 ($41.6bn). Volume was driven by A-shares with $37.2 billion, a 39% increase on the same 2015 period and the highest quarterly total since 2Q 2015 ($43.3 billion).
Despite the surge in A-shares, the two largest IPOs globally both listed in Hong Kong in 1Q 2016; China Zheshang Bank’s $$1.7 billion IPO and Bank of Tianjin’s $948 million IPO and pushed Chinese issuers to lead global new listings* volume with $5.7 billion in 1Q 2016, less than half the $13.4 billion raised in 1Q 2015.
GF Securities led the regional ECM bookrunner ranking in 1Q 2016 with $4.9 billion. CITIC Securities and Haitong Securities rounded off the top three banks with $3.6 billion and $2.5 billion, respectively.
*includes primary and secondary listings
Asia (ex Japan) ECM Bookrunner Rankings - 2016 YTD | ||||
Bookrunner | Deal Value ($m) | No. | %share | |
1 | GF Securities Co Ltd | 4,916 | 13 | 9.5 |
2 | CITIC Securities | 3,610 | 18 | 7.0 |
3 | Haitong Securities Ltd | 2,548 | 17 | 4.9 |
4 | Huatai Securities Co Ltd | 2,541 | 10 | 4.9 |
5 | Guosen Securities Co Ltd | 2,540 | 8 | 4.9 |
6 | Guotai Junan Securities Co Ltd | 2,011 | 16 | 3.9 |
7 | Deutsche Bank | 2,008 | 9 | 3.9 |
8 | Morgan Stanley | 1,856 | 12 | 3.6 |
9 | China International Capital Corp Ltd | 1,849 | 8 | 3.6 |
10 | Sinolink Securities Co Ltd | 1,652 | 3 | 3.2 |
Debt Capital Markets
Two issuers have tapped the G3 bond markets for $900 million so far this week, down from the $3.4 billion raised in the week prior. Mongolia’s $500 million sovereign bond through bookrunners JPMorgan, Deutsche Bank, ING and Credit Suisse is the largest deal of the week.
1Q 2016 G3 bond volume totaled $43.9 billion, down 22% year-on-year. Despite the decline, G3 SSA issuance increased to $22.5 billion in 1Q 2016, the highest quarterly volume on record and up 36% on 1Q 2015 ($16.6 billion).
China led G3 issuance with $13.0 billion, the lowest 1Q total since 2012 ($4.5 billion) and down 42% on 1Q 2015 ($22.6bn). Followed by the Philippines and South Korea with $10.9 billion and $7.2 billion, respectively.
HSBC topped the1Q 2016 G3 DCM bookrunner ranking in the region with $4.8 billion while Citi and Standard Chartered Bank follow with $3.9 billion and $3.1 billion respectively.
Asia (ex Japan) G3 DCM Bookrunner Rankings - 2016 YTD | ||||
Bookrunner | Deal Value ($m) | No. | %share | |
1 | HSBC | 4,814 | 28 | 11.0 |
2 | Citi | 3,900 | 17 | 8.9 |
3 | Standard Chartered Bank | 3,135 | 13 | 7.1 |
4 | JPMorgan | 2,993 | 15 | 6.8 |
5 | Bank of America Merrill Lynch | 2,724 | 12 | 6.2 |
6 | Deutsche Bank | 2,224 | 10 | 5.1 |
7 | Morgan Stanley | 1,946 | 8 | 4.4 |
8 | Bank of China | 1,580 | 8 | 3.6 |
9 | Credit Suisse | 1,473 | 10 | 3.4 |
10 | BNP Paribas | 1,322 | 9 | 3.0 |