The capital markets in Southeast Asia saw 122 IPOs for the first 10 and a half months this year, raising approximately US$3 billion ($4.02 billion) — the lowest total capital raised in nine years, according to data compiled by Deloitte.
This was a decline compared to the 163 IPOs in 2023, which raised a total of US$5.8 billion. The decline is attributed mainly to lack of blockbuster listings — in 2024, only one IPO raised over US$500 million, in contrast to four such listings in 2023.
Deloitte found that the consumer as well as energy and resources industries dominated the region, accounting for 52% of the total number of IPOs and 64% of the total IPO funds raised.
The growth in the consumer industry is driven by significant transformation due to a shift in consumer behaviour, which has led to increased competition across local, regional and global players. This is a result of the region’s growing GDP, which has led to an expanding middle-class with greater spending power.
Additionally, Deloitte notes that the energy and resources industry, specifically the renewable energy sector, continues to be a focal point for Southeast Asia. This is as the region continues to seek energy security, equity and environmental sustainability, transitioning towards more sustainable resources while balancing growing energy demands.
Tay Hwee Ling, accounting and reporting assurance leader at Deloitte Southeast Asia, notes that “Southeast Asia’s IPO market encountered significant regional challenges in 2024, including currency fluctuations, regulatory differences across markets and geopolitical tensions, which affected trade and investment.”
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In Singapore, Catalist IPOs raised approximately US$34 million in the first 10 and a half months of 2024. The four listings are in the consumer, industrial products and life sciences and health care industries.
Singapore Exchange (SGX) saw two new secondary listings from the Hong Kong Stock Exchange, Helens International Holdings and PC Partner Group.
Darren Ng, transactions accounting support partner at Deloitte Singapore notes a renewed focus on REITs in Singapore. “As global interest rates stabilise, investor appetite for income-generating assets like REITs is expected to strengthen,” he adds.
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Given its established REIT framework and well-regulated market with high liquidity, Ng highlights that Singapore remains a preferred listing destination for REITs in Asia.
Furthermore, Ng points out that the Monetary Authority of Singapore (MAS) has convened a review group to assess and enhance Singapore’s IPO ecosystem, focusing on making the listing process more accessible and attractive.
Looking ahead, Tay comments that the expected interest rate cuts alongside easing inflation may create a more favourable environment for IPOs in the years ahead.
“Southeast Asia’s strong consumer base, growing middle class, and strategic importance in sectors like real estate, healthcare, and renewable energy remain attractive to investors. As foreign direct investment continues to flow into the region, 2025 is poised to be a year of renewed IPO activity across Southeast Asia,” Tay adds.
