By Mark McSherry
The total capital raised by the London Stock Exchange (LSE) in 2021 was £49.2 billion — £16.8bn in IPOs as 122 firms listed in London and £32.4 billion in further offerings by existing listed companies.
The LSE said it continued its track record of attracting international companies as it welcomed listings from countries including the US and Canada, Australia and from 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,” said LSE.
“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).”
IPOs from the North of England in 2021 included Manchester-based Ladbible publisher LBG Media plc, York-based life sciences firm Aptamer Group, Salford-based fashion firm In The Style, Lancashire-based Victorian Plumbing Group plc, North Shields-based wholesaler Kitwave, Stockport-based tech recycler musicMagpie, and Manchester-based vaping and battery supplier Supreme.
London Stock Exchange Group (LSEG) said its FX volumes hit a new daily record of over $680 billion, and London’s Sustainable Bond Market (SBM) continued to grow, with more than 100 bonds raising over £50 billion in 2021 “bringing the total to 342 active bonds on SBM and £103.6 billion in total debt capital raised.”
LSE said that overall, it raised more capital for IPOs in 2021 than any year since 2007.
The exchange said it 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.”
LSE said that through the year 39% of all IPO capital was raised by tech or consumer internet companies with a combined market capitalisation of £31 billion 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,” said LSE.
“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.”
LSEG said 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.
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.”
LSE plc CEO Julia Hoggett 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.”