Jos Simson

Chief Executive Officer
Jos joined Tavistock in 2010 and became Chief Executive Officer earlier this year. Jos is a senior adviser to Tavistock clients and has extensive experience advising both private individuals and listed businesses across a broad range of campaigns.

European Capital Markets Survey 2017/2018 – IPO market continues to be buoyant in Great Britain

European Capital Markets Survey 2017/2018 – IPO market continues to be buoyant in Great Britain
14 July 2017
Author: Jos Simson

Friday 14 July 2017 – Tavistock, a leading corporate and financial communications consultancy based in the City of London, is please to publish the results from its European Capital Markets Survey today. The survey, which intends to reflect the current sentiment on the European capital markets, was carried out together with its European network partners. Equity capital market professionals, including investment banking and IPO consultants, were surveyed from the DACH region (Germany, Austria, Switzerland), France, Benelux (Belgium and the Netherlands) and Great Britain.

European Capital Markets Panel 2017 1

The key findings on the European IPO-markets and the changing regulatory environment at a glance are as follows:

Expected IPOs: Within the regions DACH (100%), as well as France and Benelux (79%) participants almost entirely expect 1-10 IPOs (until mid-2018) on their respective home markets. Expectations in Great Britain are more positive. Despite political insecurities, all participants in the UK expect more than 20 IPOs for the British capital markets.

Issue volume: 46% of respondents from the DACH region, as well as 36% of respondents from France and Benelux expect an issue volume within 1 to 2 billion Euro on their home markets. 50% of all participants from Great Britain expect, in line with the higher number of expected IPOs, an issue volume above 6 billion Euros for their national market.

Up-and-coming sectors: Regarding upcoming IPOs on their home markets (until mid-2018) the study participants from the DACH region (28%) and Great Britain (15%) consider the technology sector as up-and-coming. Leading sectors for the regions France and Benelux are technology as well as healthcare (each 22%).

International bank syndicates: The equity capital market experts were asked under which circumstances they would participate in an IPO that raises funds outside the domestic market. From the regions DACH (62%), France and Benelux (64%) as well as Great Britain (100%) the experts consider relevant expertise and access to investors as crucial factors to participate in such an IPO.

Free roadshows: In Great Britain, the opinion about whether roadshows can be offered for free in the future is evenly distributed among the respondents. In the DACH-region (38%) as well as France and Benelux (43%) the question faces rejection. Striking is the fact that 32% of the participants have not formed an opinion about this topic yet.

Future of broker services: The respondents were asked how likely it is that investors will practice cherry-picking in the future. This means buying research from one broker, but going on a roadshow with another. In the regions DACH (62%) as well as France and Benelux (64%) experts believe that cherry-picking on their national markets will be likely in the future. However, no clear picture emerged from the responses from the UK.

Conclusion: The opinions of the equity capital market experts show that European capital markets will continue to grow together in the future.

The full evaluation of the European capital markets panel is available in the attached file.

European Capital Markets Panel 2017 170713 002