In a striking return to form, Hong Kong is poised to become the world’s second-largest equity fundraising hub for the first time since 2012, according to 365247 Media analysis. Bolstered by blockbuster listings and renewed investor confidence, the city’s capital markets have staged a dramatic resurgence in 2025 — underscoring its relevance in an increasingly fragmented global investment landscape.
The Numbers Behind the Boom
Equity fundraising in Hong Kong has already surpassed $33 billion in proceeds from IPOs and follow-on offerings in just the first half of the year — nearly six times higher than the same period in 2024.
Notable drivers include:
- BYD and Xiaomi leading with high-value equity sales
- CATL (Contemporary Amperex Technology) executing the largest new listing globally so far this year
- A wave of dual-listed A-H shares (Chinese firms listing in both mainland China and Hong Kong), contributing to over 75% of IPO capital raised in 2025
Despite ongoing geopolitical noise — including trade tensions and tariff threats — investors are displaying remarkable resilience, fueling demand for China-exposed public equities. Three of the world’s four largest listings in 2025 have occurred in Hong Kong.
What the Experts Are Saying
“Global investors are showing renewed confidence in Asia, particularly in Hong Kong and the mainland,”
said Sunil Dhupelia, Co-Head of Asia Pacific ECM at JPMorgan.
“We expect the second half to be just as, if not more, active — assuming markets stay stable.”
What’s Next: High-Profile IPOs on Deck
Hong Kong’s capital markets aren’t slowing down. Upcoming offerings include:
- Seres Group Co. – Electric vehicles
- Sany Heavy Industry Co. – Construction equipment
- Muyuan Foods Co. – Agritech and livestock production
Combined, these billion-dollar listings are expected to push total IPO proceeds in Hong Kong beyond $22 billion, marking the highest level in four years.
HKEX is actively promoting this momentum — even launching a “gongmobile” public tour to celebrate its 25th anniversary and commemorate its role in these listings.
Regional Snapshot: How Asia’s Markets Compare
- Asia-Pacific has generated nearly $100 billion in equity proceeds in 2025 so far, up 30% year-on-year.
- Japan has seen major activity from players like Japan Post Bank and JX Advanced Metals, totaling $13.7B.
- India, while starting slower due to a Q1 market dip, is rebounding with IPOs like HDB Financial Services ($1.5B)and Tata Capital ($2B) on the horizon.
- South Korea is riding political stabilization, with listings like Pinkfong (creators of viral hit “Baby Shark”) drawing attention.
The return of Hong Kong as a dominant equity capital market isn’t just cyclical — it’s structural. China’s largest corporates are turning to HKEX to:
- Access global liquidity pools
- Hedge against domestic regulatory bottlenecks
- Diversify their investor base amid AI, EV, and clean energy transformations
And while tariffs and macro uncertainty remain wildcards, dealmakers suggest investors have priced in much of the geopolitical risk.
“Tariffs and uncertainty are now part of the playbook,” says Christine Xu, Partner at Linklaters. “Hong Kong’s listings tied to domestic consumption remain the safest geopolitical bets.”
What This Means for the Market
This year’s IPO boom in Hong Kong signals more than a return of investor appetite — it underscores the city’s transformation into a hybrid gateway: one that bridges China’s domestic growth with international capital.
The East is fundraising again — and the world is buying in.
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IMAGE: Travel Weekly
