Europe played host to just one private equity-backed IPO in the second quarter, new data from Ernst & Young shows, highlighting how the public market has all but shut amid the unabated debt crisis.
Edwards Group – a UK maker of vacuum products backed by American private equity firm CCMP Capital Advisors – listed on the Nasdaq in May, making it the only European business to go public in Q2.
Not only that, but CCMP had to revise its return expectations when its planned $11 to $13 price range was cut to $8 just ahead of the float. The share issue raised $100m (€128m) for its sponsor.
The dour figure reflects poor sentiment across the globe, with a total of 25 private equity-backed companies worldwide raising $5.3bn between April and June. This compares with 35 IPOs that raised $6bn in the first three months of the year.
Companies in the Americas raised $5.2bn across 15 IPOs, while there were nine companies taken public on Asia-Pacific exchanges, raising $140m in total.