A surge in mega IPOs by Chinese companies has propelled Hong Kong to the top of the global initial public offering (IPO) rankings for the first half of 2025, reviving the city’s role as a premier fundraising hub.
Driven by a flurry of listings from mainland firms and strong capital inflows from China, Hong Kong’s IPO market raised HK$107.1 billion (S$17.5 billion) from 44 listings—outpacing both Nasdaq and the New York Stock Exchange, according to the Hong Kong Stock Exchange (HKEX).
This marked the city’s best mid-year performance since 2016, placing it back at the top of global exchanges, as confirmed by data from Dealogic, KPMG, and EY.
Top IPOs Lead the Charge
The standout listing was the US$5.3 billion IPO of battery giant Contemporary Amperex Technology (CATL) in May—the largest global offering so far this year. It was followed by Chinese pharmaceutical firm Jiangsu Hengrui (HK$9.9 billion) and condiment giant Foshan Haitian (HK$9.4 billion).
With 184 IPOs in the pipeline—dominated by Chinese and Hong Kong-based firms—technology stocks are expected to anchor much of the upcoming activity. Notably, 49 filings are in the tech sector, according to Dealogic.
Perris Lee, head of APAC equity capital markets at Ion Analytics, noted the strong rally in Hong Kong stocks was bolstered by enthusiasm surrounding Chinese AI leader DeepSeek, which is likely to spur activity in adjacent sectors like healthcare and consumer goods.
Homecoming Listings & Geopolitical Shifts
A growing number of U.S.-listed Chinese companies are also returning to list in Hong Kong amid strained U.S.-China relations. Key examples include Alibaba and electric vehicle maker Xpeng, which both opted for dual primary listings—subjecting them to strict oversight in both Hong Kong and the U.S.
Lee emphasized that most major U.S.-listed Chinese firms that could relist in Hong Kong have already done so, leaving only a few remaining prospects.
Strong Pipeline & Capital Inflows
HKEX has approved 16 IPOs, with another 176 applications under review as of June 30. Southbound capital flows from mainland China into Hong Kong stocks also surged, hitting a record HK$400 billion in Q1 alone.
James Wang, head of China strategy at UBS Global Research, attributed this momentum to the stronger profile of Hong Kong-listed companies, tighter IPO regulations on the mainland, and renewed global interest in Chinese champions like BYD, Tencent, and Alibaba.
By end-May, southbound net inflows had reached US$80 billion, although the pace cooled slightly after April.
A Dominant First Half with More to Come
Deloitte data showed Hong Kong raised HK$31 billion more than Nasdaq and HK$43 billion more than the NYSE in H1. Of 40 tracked listings, only two were by non-Chinese firms—one from Singapore, the other from Indonesia.
Tony Huang of Deloitte China said that national support for innovation and technology would drive more high-quality listings in the second half of the year, especially in tech, energy, and media.
Deloitte forecasts total IPO fundraising in Hong Kong could reach HK$200 billion in 2025, across approximately 80 listings, including up to 25 from A-share-listed mainland companies.
