2014 equity capital markets review - Citi, BofA ML on the rise

Thomson Reuters Logo

Global ECM activity up 11%

Equity capital markets activity totaled US$890.4 billion during full year 2014, an 11% increase compared to full year 2013 and the strongest annual period for global equity capital markets issuance since 2007. Fourth quarter equity capital markets issuance decreased 8% compared to the third quarter of the year.

IPOs up 51% from 2013; Asia Pacific issuers account for 40%

Initial public offering activity during full year 2014 totaled US$249.0 billion, an increase of 51% from last year and the strongest annual period for global IPOs since 2010. Issuers in China, the United States and United Kingdom accounted for 58% of all activity during full year 2014, up from a combined 51% a year ago. Bolstered by four of the world's top five listings this year including Alibaba Group's record-breaking $25.0 billion IPO, Asia Pacific IPOs totaled $100.7 billion during full year 2014, the strongest annual period since 2010.

Follow-on offerings hit 5-year high, up 1% from 2013

Global follow-on offerings totaled US$537.8 billion during full year 2014, an increase of 1% compared to a year ago and the strongest annual period for follow-on offerings since 2009. Offerings from European companies accounted for 32% of global follow-on issuance, up from 30% during full year 2013. Strong year-over-year gains in Italy and Germany bolstered European volumes, while issuance from companies in the United States fell 15%.

United States issuers account for 29%

Issuers from the United States raised US$253.9 billion in the global equity capital markets during full year 2014, down 9% compared to 2013. Issuers from China and United Kingdom accounted for 15% and 7%, respectively, of overall equity capital markets activity during full year 2014.

Five sectors account for 68% of activity

Led by Financial issuers (20%), the overall volume of equity capital markets activity remained highly concentrated among five main sectors including Energy and Power (14%), Technology (12%) and Industrials and Real Estate (11%).

Goldman Sachs tops global ECM rankings

Goldman Sachs led all equity capital markets underwriters during full year 2014, with US$77.3 billion in proceeds from 398 issues, despite a loss of 2.6 market share points compared to 2013. Morgan Stanley, which gained 1.7 market share points for the top spot in global IPO underwriting this year, moved into second place from third in overall ECM during full year 2013.

ECM fees up 18%

According to estimates from Thomson Reuters/Freeman Consulting, fees from equity capital markets transactions during full year 2014 totaled US$21.3 billion, an 18% increase from full year 2013.

Global Debt Equity Related 2014 (A1) Top 20

Source: Thomson Reuters

JefferiesAnd the Best Place to Work in the global financial markets 2017 is...

Register for Financial Markets News Alerts