Frontier Markets Equity Issuance and IPOs 2015 Wrap-up
We’re in the early days of 2015 summary-type articles, and we thought it would be a good time to go over the equity offerings that occurred in Frontier Markets in 2015. It was a reasonably good year in Frontier Markets, with total offerings of about $4.4bn or 67 in total issues. However, most of that was concentrated in markets we watch, but are really emerging or pseudo-emerging markets.
The table below lists the countries involved, ranked by total funds raised.
You can observe that the top 5 countries accounted for almost 80% of total funds raised. However, when looking at it from the perspective of # of issues, Mauritius and Bangladesh led the pack. With 10 issues though, Bangladesh only raised $100mm. Nevertheless, a positive sign for a country undergoing significant political turmoil.
The table below looks at issuances on the basis of industry. Financials, Industrials, and Non-cyclicals led the pack in terms of funds raised, but Financials, and Consumer cyclicals and non-cyclicals led in terms of number of total issues.
Lastly, looking at all issuances in terms of total offer size the nature of Frontier Markets is apparent with only one issuance over $500mm, and only 16 over $100mm. However, almost 83% of total capital raised came from the 16 issues above $100mm.
One word of caution, our list is compiled using Bloomberg. As a result, it does not include any markets that Bloomberg does not cover (such as Nepal, Iran, etc.).
We expect 2016 to be a much stronger year, and will follow-up shortly with our expected IPOs for 2016. As always, if you have any questions, please let us know.
Please see below, for a full list of all equity issuances in 2015.