Hong Kong, India Fuel Blockbuster Year for Asia Fundraising

Himasha Dissanayake, JadeTimes Staff

H. Dissanayake is a Jadetimes news reporter covering Technology

Image Source: Bloomberg

Note: Figures are as of Dec. 12, 2025

Asia's equity fundraising staged a dramatic comeback in 2025, led by a resurgent Hong Kong market and record-breaking activity in India, propelling the region to the forefront of global share sales.

Hong Kong reclaimed its position as Asia’s top fundraising hub for the first time since 2013, with proceeds from initial public offerings, placements, and block trades surging nearly fourfold to more than $73 billion. That performance placed the city just behind the United States globally and marked a sharp reversal from recent years, when weak sentiment and China-related concerns weighed heavily on dealmaking.

Chinese companies powered much of the rebound as they tapped capital markets to fund global expansion. Battery giant Contemporary Amperex Technology Co. (CATL) raised $5.3 billion in the world’s second-largest listing this year, while BYD Co. and Xiaomi Corp. each secured more than $5 billion through share placements. The momentum held despite geopolitical tensions and the rollout of new US tariffs.

“This year has exceeded expectations,” said James Wang, head of equity capital markets for Asia excluding Japan at Goldman Sachs. He added that volumes are likely to continue rising, though at a more measured pace.

The surge was broad-based across the region. Four of the world’s five largest share-sale venues in 2025 were in Asia — Hong Kong, India, mainland China, and Japan — underscoring the continent’s dominance in global equity issuance.

Hong Kong’s pipeline remains robust, with about 300 companies awaiting listings. While regulators have cautioned banks over rushed applications, investors are becoming more selective after a year of strong returns. Hong Kong IPOs delivered an average debut gain of nearly 50%, outperforming the Hang Seng Index, which is up 29.5% year to date despite some late-year volatility.

India also delivered a standout performance, recording a second consecutive year of record IPO proceeds exceeding $20 billion. Strong participation from domestic mutual funds and retail investors fueled billion-dollar-plus deals, while block trades by existing shareholders added to volumes. High-profile candidates, including Reliance Industries’ Jio Platforms, are expected to test the market next year.

Mainland China, meanwhile, saw renewed enthusiasm for listings aligned with Beijing’s strategic priorities, particularly in semiconductors and advanced manufacturing, even as broader issuance remained more controlled.

Looking ahead, bankers expect Asia’s deal flow to remain active into 2026, supported by a deep pipeline and secondary offerings. However, valuation discipline, market performance, and geopolitical risks will play a decisive role in determining whether the region can surpass this year’s fundraising highs.