1、 Mainland and Hong Kong IPO markets 2023 Q3 review9 October 20232Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited b

2、y guarantee.All rights reserved ContentsGlobal IPO landscapeA-share IPO marketHong Kong IPO market3Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a

3、 private English company limited by guarantee.All rights reserved 3Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited

4、 by guarantee.All rights reserved Global IPO landscape4Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarante

5、e.All rights reserved Global IPO activity(1)(2019 2023 Q3)(1)Analysis based on data as at 30 September 2023Sources:Bloomberg and KPMG analysis,including REIT deals and excluding special purpose acquisition company(“SPAC”or“blank check”)deals.Funds raised(USDB)1211733481561059210612040050100150200250

6、30035040045050020192020202120222023Q3 YTD Funds raisedQ4 Funds raisedNo.of dealsQ3 YTD(%of full year)Full year789(66%)943(63%)1,776(71%)1,088(72%)1,004(N/A)1,1911,4932,5101,520(N/A)2023 Q3 Global IPO market overviewMarket activity remains slow Number of deals:10%Funds raised:35%compared to 2022 Q3Gl

7、obal landscapeGeopolitical uncertaintiesEconomy recoveryInterest rate hikesInflation easing5Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a privat

8、e English company limited by guarantee.All rights reserved(1)Analysis based on actual data as at 30 September 2023.(2)The exchange rate for USD/HKD is 7.75.(3)Sources:Bloomberg and KPMG analysis,included REIT deals and excluded special purpose acquisition company(“SPAC”or“blank check”)deals.A-share

9、stock exchangescontributedRankStock exchangeIPO proceeds(USD billion)11Shanghai Stock Exchange28.72Shenzhen Stock Exchange19.83NASDAQ Stock Exchange10.94New York Stock Exchange7.85 National Stock Exchange of India4.02023 Q3YTDRankStock exchangeIPO proceeds(USD billion)1Shanghai Stock Exchange56.52Sh

10、enzhen Stock Exchange31.13HKEX12.84Korea Stock Exchange11.35 Frankfurt Stock Exchange9.12022(Full year)RankStock exchangeIPO proceeds(USD billion)1Shanghai Stock Exchange49.22Shenzhen Stock Exchange25.83Korea Stock Exchange11.24Frankfurt Stock Exchange9.15 HKEX9.02022Q3 YTDGlobal top 5 stock exchang

11、es11sizeable IPO deals raising over US$1 billion in 2023 Q3 YTDcompared to21such deals in 2022 Q3 YTD 50%of global proceeds 20%of no.of dealsin 2023 Q3 YTDNASDAQ Stock Exchangerose to third place globallyin terms of total proceeds so far in 2023,following the IPO of a mega-sized semiconductor and so

12、ftware design company.6Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved 2023 Q4 gl

13、obal IPO market outlookThe global IPO landscape continues to face significant headwinds amidst ongoing challenges,and uncertainty is impacting investor sentiment.However,the recent successful listing of a prominent technology firm has attracted substantial attention from investors worldwide,providin

14、g a glimmer of hope that IPO activity globally can be revitalised and investor confidence reignited.“Paul LauPartnerHead of Capital Markets and Professional Practice KPMG China“Global landscapeKey factors to revitalisethe global IPO marketsImproving ValuationsMarket ConfidenceQuality IPOsIPO Markets

15、7Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved 7Chinese Mainland and Hong Kong

16、IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved A-share IPO market8Chinese Mainland and Hong Kong IPO markets 20

17、23 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved A-share IPO activities continue to slow The A-share IPO market recorded reduct

18、ions in both the number of deals and total proceeds as compared to 2022 Q3,due to a slowdown in the domestic economic recovery in recent months and a lack of mega-sized deals.Yet,the Shanghai Stock Exchange and Shenzhen Stock Exchange continue to rank first and second respectively in terms of both f

19、unds raised and number of deals among all listing venues across the globe.The top three in terms of funds raised are companies involved in the production of semiconductors,which is a key focus area for the Chinese Mainland.Measures to boost capital market investor confidence In order to stimulate ca

20、pital market activities and shore up investor confidence,the Ministry of Financial and the China Securities Regulatory Commission(CSRC)have implemented a series of measures,including:reducing stamp duty on securities transactions restricting shareholding dilution adjustments to the pace of IPOs and

21、refinancing dealsA-share IPO market:2023 Q3 YTD highlightsNote:All analysis is based on WIND data and included REIT deals as of 30 September 2023,unless otherwise stated41 IPOs268 Deals 10%RMB 338.0B 35%A-share IPO activity in 2023 Q3 YTDcompared to 2022 Q3 YTDcompared to 2022 Q3 YTD 41 IPOsGoal of

22、capital market measuresImprove market liquidityBalance supply&demandStabiliseshare prices9Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private

23、English company limited by guarantee.All rights reserved Note:All analysis is based on WIND data and included REIT deals as of 30 September 2023,unless otherwise stated*The above statistics excluded companies transferred from BSE to STAR or ChiNext.2022Q3 YTD RMB 121.4B28 dealsRMB 27.9B32 dealsRMB 2

24、10.2B95 dealsRMB 145.8B116 dealsRMB 6.7B35 dealsRMB 512.0B306 deals2023 Q3 YTDRMB 53.7B31 dealsRMB 21.4B17 dealsRMB 139.6B62 dealsRMB 112.0B98 dealsRMB 11.3B60 dealsRMB 338.0B268 deals2022 full year RMB 145.1B40 dealsRMB 39.6B43 dealsRMB 252.7B123 dealsRMB 179.6B148 dealsRMB 16.9B83 dealsRMB 633.9B4

25、37 dealsSZSE-TraditionalSZSE-ChiNext*TotalSSE-TraditionalSSE-STAR*BSEA-share IPO market activity10Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a

26、private English company limited by guarantee.All rights reserved 2022 Q3 YTDNote:All analysis is based on WIND data and included REIT deals as of 30 September 2023,unless otherwise stated*The above statistics excluded companies transferred from BSE to STAR or ChiNext.A-share IPO sector distributionI

27、ndustrials53%OthersTMT23%ENR 7%Industrials42%OthersTMT29%Healthcare/Life sciences12%Industrials and TMT remain key drivers in the A-share market in terms of both funds raised and number of deals.Three out of the Top 10 largest IPOs came from the ENR sector in 2023 Q3 YTD,propelling the sector into t

28、hird place in terms of funds raised YTD.2023 Q3 YTDGlobal landscapeSector in terms of funds raised11Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,

29、a private English company limited by guarantee.All rights reserved 2023 Q3CompanyExchangeProceeds(RMB billion)Sector1Hua Hong Semiconductor LimitedSSE-STAR21.2Industrials2Semiconductor Manufacturing Electronics(Shaoxing)CorporationSSE-STAR11.1Industrials3Nexchip Semiconductor CorporationSSE-STAR10.0

30、Industrials4China Fund Management SPIC New Energy REIT*SSE7.8Infrastructure/Real Estate5Shaanxi Energy Investment Co.,Ltd.SZSE7.2ENR6BaimtecMaterial Co.,Ltd.SSE-STAR7.1Industrials7CSI Solar Co.,Ltd.SSE-STAR6.9ENR8Huaqin Technology Co.,Ltd.SSE5.9TMT9Hunan Yuneng New Energy Battery Material Co.,Ltd.SZ

31、SE-ChiNext4.5Industrials10Jiangsu Xukuang Energy Co.,Ltd.SSE4.3ENR2022 Q3CompanyExchangeProceeds(RMB billion)Sector1China Mobile LimitedSSE56.0TMT2CNOOC LimitedSSE32.3ENR3Shanghai United Imaging Healthcare Co.,Ltd.SSE-STAR11.0Healthcare/Life Sciences4Hygon Information Technology Co.,Ltd.SSE-STAR10.8

32、TMT5JinkosolarCo.,Ltd.SSE-STAR10.0Industrials6Huaxia China Jiaojian Expressway REIT*SSE9.4Infrastructure/Real Estate7ASR Microelectronics Co.,Ltd.SSE-STAR6.9TMT8Hubei Wanrun New Energy Technology Co.,Ltd.SSE-STAR6.4Industrials9Shenzhen Hello Tech Energy Co.,LtdSZSE-ChiNext5.8Industrials10Suzhou Novo

33、sense Microlectronics Co.,LtdSSE-STAR5.8Industrials2022 Q3 YTD:RMB 154.4 billion2023 Q3 YTD:RMB 86.0 billion 30%of total proceeds25%of total proceedsFunds raised by top 10 IPOs*Refers to real estate investment trusts listings(“REITs”)Top 10 largest A-share IPOs Note:All analysis is based on WIND dat

34、a and included REIT deals as of 30 September 2023,unless otherwise statedSource:Wind and KPMG analysis12Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limi

35、ted,a private English company limited by guarantee.All rights reserved Industrials40%TMT27%Healthcare/Life sciences11%Consumer markets8%ENR6%Others 8%Source:Wind and KPMG analysisIndustrials and TMT remain the top sectors among A-share IPO applicants,representing close to 70%of the active IPO pipeli

36、ne.The STAR Market and ChiNext pipelines continue to contribute approximately 50%of total active applicants.A-share IPO active applicantsA-share IPO pipelineA-share IPO applications sector breakdown153218204231218323296315287315286197224181186141207164169152159129389482420430368469390360305355288705

37、313912499691331220200400600800100012002021Q12021Q22021Q32021Q42022Q12022Q22022Q32022Q42023Q12023Q22023Q3Active applicants-traditional marketActive applicants-STAR MarketActive applicants-ChiNextActive applicants-BSE7399241,138974917795780943813825962By number of companiesTotal number of companies:82

38、5Note:All analysis is based on WIND data and included REIT deals as of 30 September 2023.Active applicants included applications suspended due to the expiry of their financial information (中止審查).Historically these applications have been reactivated promptly with updated financial information submitt

39、ed by the listing applicant.13Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved The

40、 measures taken by the CSRC to revitalisethe A-share capital markets are anticipated to bring about a balance in the pace of IPOs in the short-term,ultimately fostering healthier and sustainable long-term growth of the capital markets.With ongoing positive regulatory developments and a robust pipeli

41、ne,the A-share stock exchanges are poised to maintain their position at the top of global IPO rankings for years to come.“Louis LauPartnerCapital MarketsKPMG China2023 Q4 outlook:A-share marketIPO pipeline remains solid with around 820 active applicants,indicating a steady demand for fund-raising ac

42、tivities in the A-share market,especially for sectors such as TMT and advanced industrials.Solid IPO pipelineA slowdown in the number of IPO listings is expected to be seen in the short term,while maintaining a regular pace of new listings would support a healthy long-term development of the capital

43、 market.Strategies rolled out by CSRC14Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights res

44、erved 14Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved Hong Kong IPO market15Chi

45、nese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved Note:All figures are as of 30 Septem

46、ber 2023,included listing by introduction,and excluded SPAC deals,De-SPAC deals and GEM transferSource:HKEx and KPMG analysisBiotech listings continue to be a key focus The Healthcare/Life Sciences sector has demonstrated its resilience with 6 pre-revenue biotech companies listed in 2023 Q3 YTD,outp

47、acing the 4 listed in the same period last year.As of 30 September,there were 20 Healthcare/Life Sciences companies applying to list,including 9 pre-revenue biotech applicants.Despite suboptimal market conditions,pre-revenue biotech company listings in Hong Kong surpassed the figures from the previo

48、us year,which exemplified the ongoing success of Hong Kongs listing regime and the markets confidence in the future of the biotech industry.Hong Kong IPO market:2023 Q3 highlightsIPO activity remains tepid The Hong Kong IPO market remained slow with only 13 listings raising a mere HKD 6.8 billion in

49、 the third quarter.On the other hand,active IPO applicants continue to accumulate,reaching around 110 as of 30 September 2023.A De-SPAC merger transaction was announced during the quarter,the first since the launch of SPAC regime back in 2022,providing a market precedent and new milestone for Hong K

50、ongs SPAC regime.41 IPOs44 Deals 15%HKD 24.6B 65%HK IPO activity in 2023 Q3 YTDcompared to 2022 Q3 YTDcompared to 2022 Q3 YTDBiotech listings in 2023 Q3 YTDPharmaceutical productsInnovative therapies16Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms o

51、f the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved Note:All figures are as of 30 September 2023,included listing by introduction,and excluded SPAC deals,De-SPAC deals and GEM transfer

52、Source:HKEx and KPMG analysisHong Kong IPO market activity2022Q3 YTDHKD 69.7B51 deals-HKD 69.7B51 deals2023 Q3 YTDHKD 24.6B44 deals-HKD 24.6B44 deals2022 full year HKD 99.6B84 deals-HKD 99.6B84 dealsMain BoardTotalGEM17Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,

53、are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved Hong Kong IPO sector distributionNote:All figures are as of 30 September 2023,included listing by introduction,and

54、 excluded SPAC deals,De-SPAC deals and GEM transferSource:HKEx and KPMG analysis2022 Q3 YTDConsumer Markets29%OthersENR20%Industrials20%The Consumer Markets sector once again represented the largest IPO by funds raised,making it the overall largest sector in terms of funds raised.The Healthcare/Life

55、 Sciences sector stands strong amidst an otherwise weak market,aided by the listing of a number of pre-revenue biotech companies.2023 Q3 YTDConsumer Markets34%OthersTMT21%Healthcare/Life sciences21%Global landscapeSector in terms of funds raised18Chinese Mainland and Hong Kong IPO markets 2023 KPMG,

56、a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved 2023 Q3 YTDCompanyProceeds(HKD billion)Sector1ZJLD Group Inc5.3Consumer Markets2Horizo

57、n Construction Development Limited1.6Infrastructure/Real Estate3Sichuan Kelun-Biotech Biopharmaceutical Co.,Ltd.B1.6Healthcare/Life Sciences4TUHU Car Inc.W1.2TMT5Beijing SinoHytecCo.,Ltd.1.1Industrials6Beijing Fourth Paradigm Technology Co.,Ltd.1.0TMT7JF Wealth Holdings Ltd1.0Financial Services8Beau

58、ty Farm Medical and Health Industry Inc.0.9Consumer Markets9Laekna,Inc.B0.8Healthcare/Life Sciences10Neusoft Xikang Holdings Inc.0.6TMT2022 Q3 YTDCompanyProceeds(HKD billion)Sector1China Tourism Group Duty Free Corporation Limited18.4Consumer Markets2Tianqi Lithium Corporation13.5ENR3Onewo Inc.6.3In

59、frastructure/Real Estate4Zhejiang LeapmotorTechnology Co.,Ltd.6.3Industrials5JL Mag Rare-Earth Co.,Ltd.4.2Industrials6Huitongda Network Co.,Ltd.2.3TMT7Ferretti S.p.A.2.0Industrials8Qingdao Ainnovation Technology Group Co.,Ltd1.2TMT9Yunkang Group Limited1.2Healthcare/Life Sciences10Deewin Tianxia Co.

60、,Ltd1.1IndustrialsNote:All figures are as of 30 September 2023,included listing by introduction,and excluded SPAC deals,De-SPAC deals and GEM transferSource:HKEx and KPMG analysis2022 Q3 YTD:HKD 56.5 billion2023 Q3 YTD:HKD 15.1 billion 80%of total proceeds 60%of total proceedsFunds raised by top 10

61、IPOsTop 10 largest Hong Kong IPOs19Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hong Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserve

62、d 2023 Q4 outlook:Hong Kong IPO market“Irene ChuPartnerHead of New Economy and Life SciencesKPMG ChinaEven though IPO activity in Hong Kong remains muted,continuous efforts in broadening the connect program,deepening links with ASPAC,Middle East and global markets and fostering sustainable finance t

63、hrough enhanced climate reporting are strategically important for Hong Kong as it continues to pursue global connectivity and serves as a crucial bridge between the Chinese Mainland and the global markets.The reform of GEM board is expected to enhance the appeal of GEM for small and medium-sized ent

64、erprises with high-growth potential.Consultation on GEM reform The establishment of the task force signals the governments commitment to the continued improvement of Hong Kongs capital markets.Task Force on Enhancing Stock Market Liquidityd20Chinese Mainland and Hong Kong IPO markets 2023 KPMG,a Hon

65、g Kong(SAR)partnership,are member firms of the KPMG global organisationof independent member firms affiliated with KPMG International Limited,a private English company limited by guarantee.All rights reserved Paul LauPartner,Head of Capital Markets and Professional Practice KPMG China+852 2826 Teren

66、ce ManPartner,Capital Markets GroupKPMG China+86(10)8508 Louis LauPartner,Capital Markets GroupKPMG China+852 2143 Mike TangPartner,Capital Markets GroupKPMG China+852 2833 Irene ChuPartner,Head of New Economy and Life SciencesKPMG China+852 2978 Elton TamPartner,Capital Markets GroupKPMG China+852

67、2978 Contact ushome.kpmg/cn/socialmediaThe information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity.Although we endeavour to provide accurate and timely information,there can be no guarantee that such information is a

68、ccurate as of the date it is received or that it will continue to be accurate in the future.No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.2023 KPMG,a Hong Kong(SAR)partnership and a member firm of the KPMG globa

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