Tech IPOs and energy deals propel ECM, M&A to decade high in Q1

ECM raised $21.2b whilst M&A reached $36.9b during the quarter.

Hong Kong’s equity capital markets (ECM) raised $166.94b (USD21.2b) in the first quarter (Q1) of 2026, up 26.4% from a year ago, marking the strongest first quarter since 2021, according to preliminary data from the London Stock Exchange Group (LSEG) Deals Intelligence team with ECM issuances rising 65.8% year on year (YoY).

According to Q1 2026 Hong Kong ECM and M&A report released 31 March, original IPOs and secondary listings accounted for $104.24b (USD13.3b), more than five times the amount raised a year ago.

The total number of IPOs and secondary listings also hit an eight-year high, rising 153.3% YoY with Chinese companies dominating first-quarter new listings, capturing 99.9% of the market at $103.93b (USD13.26b).

At least 23 original IPOs raised $36.84b (USD4.7b), up 139.2% YoY, whilst 15 secondary listings raised $66.62b (USD8.5b), a 20-fold increase.

High Technology led ECM activity with $59.57b (USD7.6b), or 36.0% of total proceeds whilst Morgan Stanley led the underwriting league table with $23.51b (USD3.0b) in related proceeds, resulting in 14.1% market share.

Globally, IPOs and secondary listings reached $313.51b (USD40.0b) in Q1, up 47.8% from 2025, with China and the US accounting for 41.5% and 21.0% of proceeds, respectively.

Original IPOs raised $242.19b (USD30.9b), up 16.5%, whilst secondary listings hit a record $72.11b (USD9.2b). Follow-on offerings raised $45.46b (USD5.8b), down 58.5%, whilst convertible offerings rose five-fold to $16.5b (USD2.1b).

Hong Kong M&A deals totalled $289.21b (USD36.9b) in Q1, up 47.2% from a year ago, the highest first-quarter total in a decade. The Energy & Power sector led with $170.08b (USD21.7b), followed by Materials at $38.40b (US$4.9 billion) and Media & Entertainment at $21.95b (US$2.8 billion).

Top financial advisors for Hong Kong-involvement M&A deals in Q1 were BNP Paribas, BofA Securities, and Rothschild.