Data from hedge fund Renaissance Capital shows that the second quarter was significantly better than the first for the IPO market.
Between the lines: The second quarter's strong numbers were masked by the ugly showing in Q1, when IPO activity was slowed significantly by the U.S. government shutdown. Capital raised for both domestic and cross-border IPOs during the first half of the year fell by 37% year-over-year, with volume down 34%, according to data from law firm Baker McKenzie.
What the data says:
- 62 IPOs raised $25 billion in Q2, a 5-year record.
- Uber, Pinterest, and Chewy were among the $5 billion IPOs during the quarter.
- Average IPO returns were 30% as Beyond Meat and the tech sector took flight.
The last word: Renaissance Capital CEO Bill Smith expects 2019 to be a "banner year," as Endeavor, WeWork, and Peloton are expected to come to market.
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