Over $10b in IPOs are set to hit the ASX this quarter

Get set for a whirlwind of an IPO season this quarter…

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The ASX IPO market is back and better than ever. With plans for seven $1 billion-plus IPOs to hit the ASX this quarter, it’s going to be a record-breaking period. In fact, this will be the busiest time for major floats on the ASX in history.

Based on the upcoming floats and listings provided by the Australia Stock Exchange, investors will have plenty of options to fill their portfolio stockings in the lead-up to this year’s Christmas.

With that being said, let’s take a moment to recap the ASX IPOs that are set to hit this quarter.

Going down in the history books

Due to the coronavirus, 2020 was the year of the word “unprecedented”, but it looks like 2021 will have its own unprecedented achievement.

The cheque books are being pulled out en masse as initial public offerings (IPO) to list on the ASX become highly popular in the backend of this year. So much so that the amount of money seeking to be raised among aspiring public companies is in excess of $10.2 billion.

After 18 months of monetary and fiscal injections, money is sloshing around the economy and companies are taking advantage of it.

Similarly, the merger and acquisition (M&A) market has swollen to face-melting levels this year. According to Dealogic, approximately $46.3 billion worth of Aussie listed and private M&A deals have been conducted in 2021. That represents an increase of 2.4 times the value of the prior year.

Meanwhile, the ASX has also been busy with a raft of newcomers hitting the boards. A situation likely exacerbated by investor demand for more opportunities during the low interest-rate environment.

As a result, Australian companies are not missing out on capitalising on an opportunity. After all, as they say, “Make hay while the sun shines”.

Here are the seven ASX IPOs valued at over $1 billion that is expected to hit the public market this quarter:

  • Global boutique asset management firm GQG Partners, valued between $5.9 billion to $6.5 billion
  • SME-focused bank Judo Bank, valued at $2.3 billion
  • Hotel commerce platform provider SiteMinder, valued at more than $1 billion
  • Global human services organisation APM, valued at more than $3 billion
  • Essential services provider Ventia, valued at $2 billion to $2.5 billion
  • Lottery operator SG Lottery, valued at approximately $8 billion
  • Metals supplier and distributor Vulcan Steel, valued at $1.1 billion
  • Transport company ComfortDelGro, valued at approximately $2 billion

Recent ASX IPOs

While the next few months look plentiful for IPOs, it might be worth recapping a few recent ASX IPOs. In September there were 22 new additions to the Australian share market.

A few notable debutants include Zoom2u Technologies Ltd (ASX: Z2U), Li-S Energy Ltd (ASX: LIS), and Touch Ventures Ltd (ASX: TVL). In fact, Li-S Energy is 163% above its IPO price of 85 cents, leaving investors with a smile.

Furthermore, the minerals prospector company, Minerals 260 Ltd (ASX: MI6) is the freshest addition to the ASX boards. Today, the Liontown Resources Limited (ASX: LTR) spin-off has surged 22% on its debut.

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Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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