The London Stock Exchange is the number one exchange in Europe, raising more equity than the Amsterdam and Paris exchanges combined, and most equity capital raised outside of the US and Greater China.
The London Stock Exchange (LSE) has raised more capital for IPOs than any year since 2007 and is by a significant margin the number one exchange in Europe, raising more equity capital than the Amsterdam and Paris exchanges combined, and the most equity capital raised outside of the US and Greater China.
There are 122 companies listed on the London Stock Exchange this year raising over £16.8bn.
Through the year 39% of all IPO capital has been raised by tech or consumer internet companies, with a combined market capitalisation of £31bn at IPO. This has included Oxford Nanopore and Wise, the largest technology company to list on the exchange ever (based on market cap), using direct listing.
2021 overall has been a strong first year for the LSEG Capital Markets division. Total FX volumes hit a new daily record of over $680bn (including FXall and Matching). Our Turquoise and Plato Partnership celebrated its 5th anniversary this year and Turquoise expanded its coverage of US stocks increasing the number of investors who can trade through one connection.
Murray Roos, Group Head, Capital Markets, LSEG said:
“2021 has also been a significant year for LSEG. The integration of Refinitiv brought our FX, fixed income, and equities businesses together to form LSEG’s capital markets division, a multi-asset, diversified, global financial markets infrastructure. I am pleased these businesses have seen strong growth, new customers and record figures. The strength of this combination is demonstrated in the innovation we brought to the market this year.”
“We are looking forward to building on this momentum and on recent regulatory changes in the UK to ensure London is an even more compelling capital raising venue.”
The total capital raised by the London Stock Exchange in 2021 is £49.2bn (£16.8bn in IPOs and £32.4bn in further offerings by existing listed companies) cementing the UK’s position as one of the top global financial centres and a driver of the UK domestic economy – providing capital to the fast growth companies of today and tomorrow, as well as existing businesses.
London has continued its long-held track record of attracting international companies, welcoming listings from countries including the US and Canada, Australia and across the EU. Companies from across the UK also accessed London’s public markets in 2021, including 15 IPOs from the North of England and four IPOs from Scotland.
It has also been the biggest year for capital raising since 2007 for London’s growth market, AIM, with £9bn raised in IPO and follow-on capital. 64 companies were admitted in 2021, raising over £3bn, the most active year for AIM IPOs since 2014 (75 IPOs).
Over 110 London listed companies have been awarded with the London Stock Exchange’s Green Economy Mark, including 7 companies at IPO in Q4 2021 – including Harmony Energy Income Trust Plc, Atrato Onsite Energy Plc, Eneraqua Technologies Plc, Gelion Plc, Foresight Sustainable Forestry Company and ThomasLloyd Energy Impact Trust Plc. If these companies were a sector, they would be the fourth largest by capital raised across the exchange in the last three years.
Julia Hoggett, CEO of LSE plc said:
“2021 has demonstrated the strength of the UK capital markets with our most active year since 2007. It has also highlighted the vital role LSEG’s capital markets play in supporting innovation, growth and the transition to a low-carbon economy.”
At COP26 LSEG announced it was developing a Voluntary Carbon Market solution, providing a capital markets solution to enhance investment in carbon mitigation projects worldwide and support the just transition to net zero, which has already attracted interest from a range of partners.
Alongside this, London’s Sustainable Bond Market (SBM) has continued to grow and has supported issuers globally with more than 100 bonds raising over £50 billion in sustainable finance in 2021, bringing the total to 342 active bonds on SBM and £103.6 billion in total debt capital raised.