Shanghai tops world's IPO league table despite coronavirus outbreak

Eight companies raised $2 billion that month and a further 5 deals in March were worth $615.5 million.

Shanghai has topped global initial public offering (IPO) league table for the first time in nearly three years, even as the coronavirus epidemic which originated in China rocked markets around the world.

A total of 33 companies raised $7.31 billion floating on the Shanghai main board and the city's start up-focused STAR market, according to Refinitiv data for the first quarter, easily outstripping New York's Nasdaq where 17 companies raised $5.13 billion via IPOs.

But even as Shanghai basks in success, for cash-seeking companies and their bankers the question is whether China can maintain this momentum as the coronavirus continues to cause massive disruption in global financial markets.

While Shanghai hosted the $4.4 billion IPO of Beijing-Shanghai Speed Railway early in January, accounting for most the funds on the main board, STAR market issuance held up even as the country went into virtual lockdown in February.

Eight companies raised $2 billion that month and a further 5 deals in March were worth $615.5 million.

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China's markets have fared better than many Western benchmarks, with the blue-chip CSI 300 down 9.4% for the year as of Friday March 27, compared with tumbles of 21% fall for the S&P 500 in New York and 25% for the pan-European STOXX 600 index.

EY Greater China IPO practice leader Terence Ho said the fiscal response from China's government - which accelerated a massive programme of economic stimulus measures - could help boost the prospects of companies looking to list on the mainland markets.