Funds raised through initial public offerings (IPOs) in Taiwan reached NT$4.501 billion (US$151.86 million) in the first half of this year, down from NT$12.06 billion over the same period last year, while the number of IPOs fell from 19 to 10, multinational accounting firm Ernst & Young said.
The COVID-19 pandemic has prompted many enterprises to put their fundraising plans on hold and dampened their willingness to go public, Ernst & Young said on Tuesday last week.
The local main board saw four IPOs in the six-month period, down from six a year earlier, with the funds raised plunging 82.1 percent year-on-year, while the over-the-counter (OTC) market saw the number of IPOs drop from 13 to six and the funds raised fall 12.1 percent, Ernst & Young said.
Among the 10 IPOs that did go ahead, proximity sensor maker Sensortek Technology Corp (昇佳電子) was the most successful, raising NT$2.14 billion on the OTC market on June 8, the firm said.
The high-tech industry completed five IPOs on the local equity market and raised a total of NT$2.75 billion in the first half, Ernst & Young said.
On the main board, the electric and machinery industry accounted for the majority of new listings, and on the OTC market, the semiconductor industry took the lead, it said.
NOT ALONE
Taiwan is not the only market to see a plunge in IPOs.
During the January-to-June period, 412 companies listed their shares worldwide, a drop of 95 from a year earlier, while the funds raised declined 12 percent to US$66.7 billion, Ernst & Young said.
Looking ahead, concerns over the COVID-19 pandemic are expected to continue to affect the IPO market in Taiwan and market uncertainty is unlikely to recede until the fourth quarter, the firm said.
Other factors such as the US recession, trade friction between Washington and Beijing, and the slowdown of the global economy are also factors that might undermine IPO activities in the second half of this year, it said.
South Korea’s equity benchmark yesterday crossed a new milestone just a month after surpassing the once-unthinkable 5,000 mark as surging global memory demand powers the country’s biggest chipmakers. The KOSPI advanced as much as 2.6 percent to a record 6,123, with Samsung Electronics Co and SK Hynix Inc each gaining more than 2 percent. With the benchmark now up 45 percent this year, South Korea’s stock market capitalization has also moved past France’s, following last month’s overtaking of Germany’s. Long overlooked by foreign funds, despite being undervalued, South Korean stocks have now emerged as clear winners in the global market. The so-called “artificial intelligence
‘SEISMIC SHIFT’: The researcher forecast there would be about 1.1 billion mobile shipments this year, down from 1.26 billion the prior year and erasing years of gains The global smartphone market is expected to contract 12.9 percent this year due to the unprecedented memorychip shortage, marking “a crisis like no other,” researcher International Data Corp (IDC) said. The new forecast, a dramatic revision down from earlier estimates, gives the latest accounting of the ongoing memory crunch that is affecting every corner of the electronics industry. The demand for advanced memory to power artificial intelligence (AI) tasks has drained global supply until well into next year and jeopardizes the business model of many smartphone makers. IDC forecast about 1.1 billion mobile shipments this year, down from 1.26 billion the prior
NEW IDENTITY: Known for its software, India has expanded into hardware, with its semiconductor industry growing from US$38bn in 2023 to US$45bn to US$50bn India on Saturday inaugurated its first semiconductor assembly and test facility, a milestone in the government’s push to reduce dependence on foreign chipmakers and stake a claim in a sector dominated by China. Indian Prime Minister Narendra Modi opened US firm Micron Technology Inc’s semiconductor assembly, test and packaging unit in his home state of Gujarat, hailing the “dawn of a new era” for India’s technology ambitions. “When young Indians look back in the future, they will see this decade as the turning point in our tech future,” Modi told the event, which was broadcast on his YouTube channel. The plant would convert
People stand in a Pokemon store in Tokyo on Thursday. One of the world highest-grossing franchises is celebrated its 30th anniversary yesterday.
RSS