NEW YORK, Aug 2 (Reuters) – Proceeds from initial public offerings in July soared on a global basis, hitting their highest level since before the 2008 financial meltdown, according to Thomson Reuters data.
The $30.5 billion that new issues raised globally in July was the most since November 2007 and exceeded the amount raised by follow-on issues for the month. Follow-ons, which were led by Mizuho Financial Group Inc (8411.T) and INPEX Corp (1605.T) in Japan, raised a total of $30.4 billion in July.
That was a turnaround from 2009, when IPOs for the most part were dwarfed by secondary offerings, many of them by banks under pressure from regulators to raise capital.
Year-to-date fees from the new issues, buoyed by Agricultural Bank of China’s (1288.HK) $20.8 billion IPO and the UK’s $1.04 billion Vallar Plc (VAAR.L) IPO, reached $3.7 billion. That is more than five times the $706 million of fees banks reaped in the first seven months of 2009.
Including IPOs, follow-ons and convertibles, the No. 1 ranked underwriting bank, year to date on a global basis, is JPMorgan Chase & Co (JPM.N). JPMorgan has underwritten 185 deals worth $35.32 billion. Goldman Sachs Group Inc (GS.N) is in the No. 2 position with 128 deals worth $31.03 billion, and Morgan Stanley (MS.N) is No. 3, with 143 deals worth $25.49 billion.
(Reporting by Clare Baldwin; Editing by Gunna Dickson and Steve Orlofsky)