China IPO Watch 2023

March 2024

This China IPO Watch provides an overview of the initial public offerings (IPOs) and listing activities on China’s principal stock markets in Chinese mainland (Shenzhen, Shanghai, Beijing), Hong Kong SAR and Taiwan region. The analysis covers companies which were listed on these markets from 1 January to 31 December 2023.

Global IPO activity declined further for the second consecutive year, with total proceeds reaching USD121 billion in 2023, a 30% decrease from the previous year, according to Global IPO Watch 2023 and outlook for 2024 released by PwC Global IPO Centre.

For China’s stock exchanges, the overall IPO issuance dropped in both number and volume with 414 IPOs and USD57.1 billion raised, representing a drop of 23% and 43% respectively. Yet, China’s markets still led the world in terms of IPO volume and fundraising with Shanghai and Shenzhen Stock Exchanges hosted 236 listings and raised USD48 billion.

PwC expects that capital markets will stabilise due to reductions in bearish factors and a substantial demand for corporate financing. In addition, with the end of the rate hike cycle and the possible begin of interest rate reduction, capital flow is expected to return to Asia, increasing market liquidity and improving valuations.

With the steady promotion of the comprehensive registration system, Chinese mainland capital markets will demonstrate increasing vitality. 2024 is a crucial year for implementing a series of policy initiatives such as accelerating the construction of a strong financial system and promoting the deepening and implementation of the stock issuance and registration system.