Apr 5, 2022 - Economy & Business

NYSE president: Demand for IPOs hasn't waned

New York Stock Exchange president Lynn Martin

Photo: Joy Asico for Axios

Despite recent market volatility, demand for new public listings is still strong, New York Stock Exchange president Lynn Martin told me on stage at Axios' What's Next Summit Tuesday.

Catch up quick: There were 37 IPO deals that raised $2.4 billion during the first quarter of 2022, according to EY.

  • That's a decline of 72% in the number of deals and a 95% decline in proceeds from the same period a year ago.

The big picture: Geopolitical tensions introduced new risks to investors, who were already in the process of moving their holdings from riskier assets after a record year for IPOs and stock market returns.

  • Yes, but: The markets have come to understand that the tensions in Europe will be here to stay.

What they're saying: "The amount of firms we are pitching at the moment, the amount of firms that are queued up to come to market, as soon as volatility comes down, is significant," Martin said.

  • "So the signs are there that we are going to have a rebound when the volatility starts to abate, which I'm hopeful is soon."

What to watch: The volatility index, which is key for a company that's looking to come to market, says Martin.

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