Asia Pacific-listed equity and equity-linked transactions this year totaled US$168.6 billion, a 17.4% decline compared to last year ($204.1 billion), and the lowest annual period since 2008 when proceeds dipped to $122.7 billion.
According to data from Thomson Reuters, total proceeds during the fourth quarter of 2012 reached $48.8 billion, a 31.9% sequential increase from the third quarter of 2012 and 23.6% higher than the proceeds during the fourth quarter of 2011.
Kuala Lumpur Stock Exchange captured 19.0% of this year’s original IPO listings in Asia-Pacific driven by Felda Global Venture’s $3.3 billion IPO in June.
Proceeds from IPOs listed in Asia-Pacific Stock Exchanges reached $39.2 billion, down 52.6% compared to last year, and the lowest annual period since 2008 ($29.1 billion).
Bolstered by Asian stake sell downs through block trades, follow-on offerings grew 17% this year to $115.5 billion and accounted for 68.5% of the region’s equity capital market activity.
Total proceeds from Asian stake sell downs through block trades reached a record volume of $53 billion from 173 deals, up 78.4% compared to 2011, and captured 31.4% of Asia’s equity offerings this year.
Sell downs on Hong Kong’s American International Assurance Group Ltd (AIA) this year totaled 14.8 billion including American International Group‘s (AIG) recent sale of its remaining stake in AIA worth $6.4 billion – the largest equity issuance this year in Asia-Pacific.
Earlier this year, AIG also raised a total of $8.0 billion from two stake sell down of AIA through block trades.
Financials Captured 32%; Driven by Asian Stake Sell downs
The Financials sector accounted for the majority of the equity issuance in Asia-Pacific this year with $53.9 billion, a 44.5% increase compared to 2011, and captured 31.9% of the market activity.
Proceeds from Asian stake sell downs through block trades by the Financials sector reached $27.7 billion, up 53.9% over a year ago, driven by deals such as AIG’s stake sell down which totaled $14 billion this year.
Meanwhile, withdrawn IPO from Asia-Pacific exchanges reached $7.8 billion thus far, a 55.7% decline from last year when $17.6 billion worth of issuance was withdrawn or postponed.
UBS leads the Asia Pacific-listed ECM underwriting League Table so far this year, with deals worth $15.5 billion, gaining 2.7 market share points to 9.2% this year. Goldman Sachs, which topped the league tables for equity listings in Asia-Pacific exchanges in 2011, slipped to second place with $14.2 billion.