Global IPO activity has slowed sharply in 2025, with total proceeds down 9.3% YoY to $44.3 billion, the lowest level in nearly a decade, according to LSEG data as of June 17. The downturn reflects the heavy drag of rising geopolitical risk, renewed U.S. tariffs, volatile equity markets, and higher interest rates.
Regional Highlights:
🇺🇸 U.S. IPO volume: $12.3B (–12% YoY)
🇪🇺 Europe: $5.8B (–64% YoY)
🌏 Asia-Pacific: $16.8B (+28% YoY)
The slowdown is particularly acute in Europe and the U.S., where uncertainty around President Trump’s 10% blanket tariff policy has reignited trade tensions since April. Despite subsequent pauses and negotiations, businesses remain hesitant to price and list new offerings.
“It’s not prudent for companies to go public right now,”
said Isabelle Freidheim, Founder of Athena Capital.
“For tech firms still chasing profitability, IPO volatility can be brutal.”
Bright Spots in Asia
In contrast, China and Japan are bucking the trend, supported by regulatory easing and improved domestic sentiment. The standout: CATL, the Chinese battery giant, raised $4.6B in the world’s largest IPO so far in 2025 — a rare success amid global headwinds.
A Glimmer of Optimism for H2
Despite the weak start, market watchers see potential for a second-half rebound, especially in the U.S., where Chime’s successful debut has reignited fintech IPO enthusiasm. Upcoming listings from Klarna, Gemini, and Cerebras are being closely watched.
“If volatility behaves, we could see a textbook ‘trickle-then-torrent’ by late 2025,”
said Michael Ashley Schulman, CIO at Running Point Capital Advisors.
With defense contractors in the West and consumer tech in India entering the pipeline, the back half of the year could surprise on the upside — provided global macro and trade risks stabilize.
Bottom line:
The global IPO market is navigating a high-risk, high-caution environment. While investors wait for clarity on tariffs and rates, select sectors and regions — especially Asia and fintech — may offer early signals of a broader recovery.
