U.S. IPO Market Continued Downward Trend in 2016

2016 Annual Priced IPOs

It was another slow year for initial public offerings, as 2016 finished with 143 IPOs and raised $26.47 billion, the lowest numbers since 2009, according to Bloomberg Law data.

The number of deals in 2016 dropped by 34 percent from 2015, which saw 217 IPOs.  It was an even steeper drop from 2014, which saw 311 IPOs, the most in the last five years.  Similarly, the dollar amount of funds raised in 2016 dropped by 36 percent from 2015, when $41.03 billion was raised, and by 74 percent from 2014, when $100.53 billion was raised.

The average deal size in 2016 was $185 million, down from $189 million in 2015 and $323 million

in 2014.  However, in contrast to previous years, there were no IPOs under $1 million in 2016.

2016 IPOs by Month 

Last year got off to a very slow start with only two IPOs in January and five in February.

2016 Monthly IPOs

May and October were the most active months.  In May, ahead of the June 23 Brexit vote, 21 IPOs raised a total of $4.15 billion.  In October, ahead of the U.S. presidential election on November 8, 23 IPOs raised a total of $5.76 billion.

The year closed out with 10 IPOs in December, raising $2.51 billion.

For more on the latest trends in IPOs, Bloomberg Law subscribers can access our Quarterly U.S. IPO Market Update.