The world’s largest equity capital market deals have taken place almost exclusively in Asia this year, an indication of the growing power of the region’s businesses despite market wobbles near year-end, reports Caixin. A $14.7 billion secondary share sale by Chinese internet giant Tencent Holdings in March was the biggest follow-on offering in 2021 as well as the second-largest block trade on record. The top five additional sales this year are all by Asian businesses, including Japan Post Holdings and Singapore’s Sea Ltd.
On the initial public offerings (IPOs) front, US electric truck-maker Rivian Automotive nabbed the top spot with its $13.7 billion share sale. But of the top 10 first-time offerings, seven were from Asian companies. Last year Asian companies accounted for half of the world’s 10 biggest IPOs.
“In a virtuous global environment for the IPO product, Asia has again dominated in producing the largest deals,” said William Smiley, co-head of ECM at Goldman Sachs Group Inc. in Asia ex-Japan. “This is despite a more muted market environment for Asian equity markets, which may permeate more broadly to the rest of the world given global macro headwinds in 2022.”