Munich, July 9, 2018 — While IPO activity is weakening internationally, with a 19% decline in the number of new issues compared to the first half of 2017, Germany is doing its best IPO first half since 2000.
- Very good start into the new issue year 2018 with 6 IPOs in the 1st quarter with a placement volume of around € 6.4 billion
- Best half-yearly balance for new issues in Germany since 2000
- Contrary to the declining international new issuance activity, Germany is increasing the number of new issues significantly
- IPOs perform better than the overall market in the difficult market environment of recent weeks Scale trading segment continues to fall short of expectations
While internationally new issue activity is weakening, with a 19% decline in the number of new issues compared with the first half of 2017, Germany is doing its best IPO first half since 2000. With 12 new issues, Germany’s share of all IPOs worldwide is 1.82 %, and with a placement volume of $7.9 billion, its share is even 8.38 %. With an issue volume of €4.2 billion ($5.3 billion), Siemens Healthineers, the largest IPO, is from Germany. With a placement volume of around € 1.3 billion ($ 1.6 billion), DWS, a second newcomer to the stock exchange, is among the top 10 of the world’s largest IPOs in the first half of the year. Although stock market indices worldwide fell significantly in the last few weeks before the reporting date of June 30 due to economic and political uncertainties, new issues in Germany outperformed the market as a whole by an average of 3.1 %. By far the best performance was achieved with a 21.5 % increase in the share price above the issue price of Siemens Healthineers. In contrast, the Deutsche Bank subsidiary DWS disappointed with a price loss of 20.8 %. Overall, investors suffered price losses in 5 of the 12 new issues. The specific trading segment for small and medium-sized companies, “Scale”, recorded 2 new issues, as in the two previous six months. STEMMER IMAGING was the first IPO on the scale with a placement volume of more than €100 million. The Bank
Hauck & Aufhäuser has obviously developed into the top address for new issues on the scale. 4 of the 6 new issues were accompanied by Hauck & Aufhäuser. The first companies have announced their IPO for the 2nd half of 2018. Therefore, we assume that about 20 companies will make their IPO debut this year. Nevertheless, we are putting a big question mark over the new issue year 2018. There are no signs that this trend will continue in Germany in the future. This is mainly because the structural problems — be they in the equity culture, costs or regulatory obstacles — have not changed. A detailed evaluation and analysis of all IPOs in the first half of 2018 in Germany can be found on our homepage https://www.blaettchen.de.
About Blättchen & Partner
With its innovative financial strategies, Blättchen & Partner GmbH has been one of the leading corporate finance experts in Germany for over 30 years. The Munich-based company specializes in advising on management participation programs, IPOs, bonds, promissory note loans and the associated post-issuance capital market support. Other key areas of the company’s range of services include corporate participations and M&A transactions. More than 500 transactions are proof of the company’s proven expertise. The grown interdisciplinary competence network, the high level of customer satisfaction and the large number of publications on important corporate finance topics reflect the recognized reputation of Blättchen & Partner GmbH.