Stimulating hope

UK Equity Capital Markets update

Winter 2019

Welcome to our Winter 2019 UK Equity Capital Markets update, ‘Stimulating hope’. Our seventh edition covers:

  • Stockmarket performance and equity issuance
  • Macroeconomic considerations and sentiment
  • How to select the range of advisers supporting an IPO
  • A case study of Helios Towers’ IPO on the London Stock Exchange

These updates are aimed at management teams of companies contemplating an IPO as well as those that are already listed, shareholders, including private equity executives, and fellow equity capital market advisers.

UK Equity Capital Markets update - Winter 2019

ECM Update

Amidst continuing uncertainty, equity markets have delivered strong gains so far in 2019. US and certain European indices are currently trading at or around all-time highs, supported by more accommodative monetary policy and central bank adjustments in the face of economic data continuing to point to a deceleration in global economic growth. As at 14 November, the FTSE 100 was 8.4% higher than at the start of this year. This ECM update includes further commentary on equity market performance and activity so far in 2019.

In addition, we provide a summary of our most recent CFO Survey, which shows CFOs continue to operate prudently by focusing on defensive strategies. We are also pleased to include this edition’s hot topic: how to select the key advisers to help support a successful IPO.

Recent IPO performance

This Equity Capital Market update also includes the relative performance of main market IPOs in 2019 against the broader market. Premium IPOs in 2019 have outperformed the FTSE 350 on average by around 5%.

About the team

The Deloitte ECM team comprises professionals from our Financial Advisory, Audit, Tax and Consulting businesses with varied backgrounds including accounting, law and investment banking to provide a multi-disciplinary service model. Together they have worked on approximately half of UK Premium trading company IPOs since the beginning of 2014 across multiple industries.

The team offers a wide variety of services including Reporting Accountant, acting as Sponsor, Nomad or Independent Adviser, advising public companies on the Takeover Code in relation to M&A, providing executive remuneration and tax advice and both Readiness and Assist services to prepare for and to support an IPO.

We hope you will find this ECM update both valuable and interesting. Please do get in touch if we can be of assistance.

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