Nasdaq To Outperform NYSE In Record Year For Initial Public Offerings

Nasdaq Inc (NDAQ.O) is expected to outperform rival New York Stock Exchange (NYSE) in terms of initial public offers (IPOs) this year, with companies raising record amounts of capital through new stock flotations in the US.

This year, Nasdaq Inc. is expected to outperform the New York Stock Exchange in terms of initial public offerings, greatly exceeding its crosstown rival during a record year for capital raised in US public markets.

According to Dealogic, Nasdaq IPOs have generated $191 billion this year through Friday, opposed to $109 billion for new NYSE listings. With only a few weeks remaining in 2021, Nasdaq is on track to beat the Big Board for the third consecutive year.

One aspect that benefited Nasdaq this year, according to IPO advisers, was its drive to promote itself as the exchange focused on ESG (environmental, social, and governance) standards. The NYSE, on the other hand, was harmed by Covid-19 regulations on its historic trading floor, which made it more difficult for businesses to stage large-scale bell-ringing festivities.

Nasdaq has always been the underdog in the heated struggle between the two exchanges for fresh listings. According to Dealogic data, there were only three years in the two decades leading up to 2019 when Nasdaq raised more money than the NYSE. The apex of the dot-com boom in 1999 and 2000, when buzzy technology businesses flocked to Nasdaq, were two of those years.

Nasdaq earned the year’s biggest IPO in 2021. A series of high-profile stock market launches, including Amazon-backed electric vehicle producer Rivian Automotive Inc (RIVN.O), the year’s largest IPO, fueled the Nasdaq rush.

An NYSE spokesman stated,

“This has been a fantastic year for new listings at the New York Stock Exchange, breaking our second-straight record for proceeds raised and welcome many of the world’s most creative and well-governed firms to our NYSE community.”

Coupang Inc. CPNG 1.53 percent, a South Korean e-commerce company, and Didi Global Inc., a Chinese ride-hailing startup, were the two largest IPOs on the New York Stock Exchange this year. -22.18 percent DIDI Didi announced last week that it will delist its shares in the United States and seek a listing in Hong Kong.

According to Dealogic, IPOs in both exchanges generated a total of $168 billion last year, a milestone at the time.

Whether a stock is listed on the Nasdaq or the NYSE makes little difference to investors. However, the two exchanges do a lot of business together.

Special purpose acquisition company (SPAC) IPOs accounted for $96.76 billion of the total capital raised on Nasdaq, while standard IPOs raised $94.63 billion. The statistics on the New York Stock Exchange were $56.27 billion and $52.9 billion, respectively.

Nasdaq said it expects to end the year with the most number of U.S. exchange listings in 20 years, with 4,133 operational companies, special purpose companies, and exchange-traded funds (ETFs).

The total surpasses the exchange’s previous high of 4,109 listings set in 2001.

According to Dealogic, with only a few weeks till the new year, U.S. IPOs have totaled $301.26 billion in 2021, smashing last year’s record of $168 billion.

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