Q3 2025 Review and Outlook for Chinese Mainland & HK IPO markets

Deloitte China's Capital Market Services Group (CMSG) today released its review of the Chinese mainland and Hong Kong IPO markets in the first three quarters of 2025 and outlook for the remainder of this year.

The report indicates that a global economic slowdown and persistent geopolitical uncertainties, particularly the US reciprocal tariff policies, caused the global IPO market to decelerate in Q3. Compared to the same period last year, funds raised by the global top 10 IPOs in Q1-Q3 2025 are expected to have been slightly weaker. However, boosted by six mega IPOs, the Hong Kong Stock Exchange (HKEX) is expected to retain its crown as the global leader in IPO fundraising.

A strong US stock market, fueled by six IPOs that each raised over USD1 billion, including one from a liquefied natural gas exporter, put New York Stock Exchange in 2nd place. A mega listing from an artificial intelligence startup and a cybersecurity company helped Nasdaq secure 3rd spot. IPO activity on the National Stock Exchange of India started to recover in Q2, ranking 4th globally by number of listings. The Shanghai Stock Exchange (SSE) ranked 5th and Shenzhen Stock Exchange (SZSE) 8th.

As mainland regulators continue to implement the New Nine Measures and the capital market's "1+N" policies, the A-share market showed steady development in the first three quarters, with increases in the number of IPOs and funds raised. This momentum is expected to continue through year-end, with companies in sectors like technology and new energy remaining the A-share IPO hotspots, supported by national policies. A-share stock indices have been rising since the beginning of this year, demonstrating the results of the implementation of the New Nine Measures and "1+N" policies.

Support from the China Securities Regulatory Commission's (CSRC) for leading mainland enterprises to list in Hong Kong, coupled with optimisations to the listing process for large A-share companies by Hong Kong Exchanges and Clearing (HKEX) and the Securities and Futures Commission (SFC), improved market sentiment, increased international capital inflows, and led to a sharp jump in average daily turnover. The significant improvement in the Hong Kong IPO market's performance over the first three quarters was led by six mega IPOs. In the final quarter, with the US Fed recently announcing the start of interest rate cuts, more capital is expected to flow into the Hong Kong market. With potentially more than five mega IPOs in the pipeline, Hong Kong is expected to continue outperforming the two US exchanges and maintain its position in the global IPO fundraising ranking.

As the mainland IPO market has not yet returned to its previous peak levels of activity, more Chinese consumer, technology, media, and telecommunications (TMT) companies turned to the US for listings. Overall, more US-listed Chinese companies raised more funds in the US in the first three quarters compared to the same period of 2024, although most of the IPOs were small in scale. Nasdaq's proposal to significantly increase listing and fundraising thresholds for Chinese companies has not yet been approved by the US Securities and Exchange Commission. Therefore, the previously planned listings of small Chinese companies, primarily from the consumer and TMT sectors, are still expected to proceed. However, if the new thresholds are approved and become effective within this year, some Chinese enterprises could change their listing plans from Nasdaq to Hong Kong.

As of 30 September 2025, the CMSG forecasts that the mainland A-share market will have seen 78 IPOs raising RMB77.1 billion in Q1-Q3 2025, up 13% in number and 61% in proceeds from the 69 IPOs raising RMB47.8 billion in the first three quarters of 2024. This year, ChiNext has had the most IPOs and the Shanghai Main Board raised the most funds among mainland markets. The SSE is expected to have 25 IPOs raising RMB45.4 billion; SZSE 38 IPOs raising RMB26.9 billion; and Beijing Stock Exchange approximately 15 IPOs raising RMB4.8 billion.

"We continue to see steady progress in A-share IPO issuance in Q3 2025, aligning with the direction set by the New Nine Measures and the '1+N' policies, highlighting the results of these reforms. Meanwhile, it is encouraging that the Shanghai Stock Exchange still managed to secure a spot in the top five of the global IPO fundraising ranking amid this stringent regulatory environment, demonstrating the strength of the mainland IPO market," says Dick Kay, Capital Market Services Group National leader, Deloitte China.

"Based on the IPO issuance pace in the first three quarters and the regulatory direction and intensity, we expect the overall performance of the A-share IPO market in 2025 to be more impressive than 2024, gradually moving towards a healthier and fairer market," adds Tony Huang, A-Share Offering National leader, Capital Market Services Group, Deloitte China

The CMSG expects Hong Kong to have had 66 IPOs raising HKD182.3 billion in the first three quarters, a 47% increase in number from 45 IPOs in the same period of 2024, and a 228% surge in proceeds from HKD55.6 billion. Six mega IPOs are expected to have listed in the first nine months, including 5 A+H share listings and 1 spin-off listing from an A+H listed company, with 4 large IPOs including 1 US-listed China concept stock with a weighted voting rights (WVR) structure.

"We are pleased to witness again substantial overseas capital continuously flowing into Hong Kong, boosting stock turnover and valuations. Together with policies encouraging leading mainland enterprises to list in Hong Kong and streamlining the application process for A-share listed companies, this has led to mega and large IPOs flocking to the Hong Kong market again, allowing Hong Kong to maintain its leading position in global IPO fundraising in Q3 2025," says Robert Lui, Southern Region Offering Services leader, Capital Market Services Group, Deloitte China.

The Hong Kong IPO market is expected to maintain its strong momentum in the final quarter of this year, surpassing Deloitte's earlier full-year 2025 forecast. With HKEX currently processing more than 230 active applications, and potentially more than five mega IPOs, including A+H listings, Hong Kong is projected to see over 80 IPOs raising HKD250 billion-280 billion this year. Alongside A+H listings as the main driver, listings by health care and pharmaceutical companies, specialist technology companies and consumer companies will also be market highlights.

"With the US Federal Reserve entering an interest rate cut cycle, we expect more overseas capital to seek high-growth investment opportunities across Asia, including Chinese mainland and Hong Kong markets. This will provide ample market funding, liquidity support, and a more favorable valuation environment for a number of mega-sized IPOs expected to debut in Hong Kong in the fourth quarter of this year.

In addition to A+H listing projects currently receiving strong regulatory support, and the dedicated Technology Enterprises Channel for biotech and specialist technology companies, the Hong Kong SAR government is considering enhancements to the weighted voting rights regime, encouraging more overseas companies to pursue secondary listings in Hong Kong, continuing to refine the Main Board listing mechanism, and deepening cooperation between HKEX and Southeast Asian exchanges. These measures will, over the medium to long term, help attract a wider range of innovative enterprises to list in Hong Kong, broaden the market’s issuer base, and draw in additional capital from fast-growing markets. This will lead to greater diversity in issuer origins, industry representation, and investor sources in Hong Kong’s IPO market, further strengthening the city’s role and standing as an international financial centre," notes Edward Au, Southern Region managing partner, Deloitte China.

In the US, 57 Chinese companies are expected to have raised USD1.05 billion via IPOs in Q1-Q3 2025, up 54% from 37 listings and 26% from USD830 million in proceeds in the same period of 2024. Apart from a large listing from a tea company and another from a pharmaceutical company, all the other IPOs were small, with nearly 70% from the consumer and TMT sectors.

To access the full report, visit here (Simplified Chinese version only).

Notes to editors:

Unless specified otherwise, all statistics are updated with our estimates and analysis as of 30 September 2025 and exclude listings from by investment trust companies, closed-ended investment companies, closed-ended funds, special purpose acquisition companies (SPACs) and de-SPACs.

Sources for A-share IPO statistics: the China Securities Regulatory Commission, Shanghai Stock Exchange, Shenzhen Stock Exchange, Beijing Stock Exchange, Deloitte estimates and analysis.

Sources for Hong Kong IPO statistics: HKEX, Deloitte estimates and analysis; excludes GEM to MB transfers and SPAC and de-SPAC listings.

Sources for global and US IPO (Chinese companies) statistics: Nasdaq, New York Stock Exchange, HKEX, SSE, SZSE, National Stock Exchange of India, Bloomberg, Refinitiv, and Deloitte estimates and analysis.