Hong Kong loses IPO crown as swelling wave of Chinese tech no match for SpaceX

Hong Kong has surrendered its IPO fundraising crown to Nasdaq following SpaceX’s blockbuster listing earlier this month, but it did so while seeing its IPO proceeds register a year-on-year rise of about 84 per cent in the first half of 2026 – consolidating the region’s position as a primary offshore financial hub for Chinese issuers. A total of 83 companies raised US$26.42 billion on the Hong Kong stock exchange’s main board from January to June, according to LSEG Data & Analytics. The figure, together with a single listing on the city’s GEM board, represented an 84.3 per cent increase in proceeds from initial public offerings from the same period last year. “The A-to-H trend is a powerful new driver,” said Jacky Leung, co-chief operating officer of the technology, media and telecoms group in Asia ex-Japan at Goldman Sachs. “A to H” refers to mainland China’s A-share companies issuing additional shares in Hong Kong. “Hong Kong has become the fundraising venue of choice for Chinese technology leaders.” Chinese issuers dominated Hong Kong’s new listings during the first half, accounting for 98.5 per cent of total IPO proceeds. Technology companies led the expansion, representing 53.1 per cent of IPO proceeds across 31 deals – a significant rise from just five in the same period last year, LSEG Data & Analytics showed. “The US and Hong Kong remain the two most active capital markets venues in 2026, each serving one of the world’s two largest economies and both riding the global AI wave,” Leung said. Nasdaq ranked first globally, with total IPO proceeds of US$112.42 billion, thanks largely to SpaceX’s US$75 billion listing in June – the biggest public listing ever by the Elon Musk-led aerospace company. The New York Stock Exchange ranked third with US$14.73 billion, according to the data. “We expect Hong Kong to continue competing effectively for quality issuers,” supported by ongoing reforms by its financial regulators, David Lau, vice-chairman of Apac Investment Banking at JP Morgan, said. “There are several sizeable IPOs in the pipeline, many of which are currently pending China Securities Regulatory Commission approval, which should help underpin activity.” The city’s bourse operator was processing 494 IPO applications as of June 30, according to the Hong Kong Exchanges and Clearing website. Average daily turnover for the first five months of the year reached HK$275.3 billion (US$35.12 billion), up 14 per cent from the same period last year. The strong pipeline of technology listings has prompted the HKEX to review its listing regimes this year, in a bid to better accommodate those firms seeking access to international capital. John Lee, vice-chairman and co-head of Asia Country Coverage at UBS Global Banking, Asia, said: “The Hong Kong market remains an attractive listing venue for issuers, given the strong investor engagement and market liquidity.” Sectors including the AI and tech-related ecosystem, as well as healthcare, were expected to perform well, Lee added. Minyue Liu, an associate investment director at Fidelity International, expects more quality companies – including those engaged in technological innovation, such as advanced manufacturing, artificial intelligence and robotics, plus new consumption sectors – to list in Hong Kong. “In the short term, the listing of large AI-related companies may create some temporary competition for market liquidity,” Liu noted. “However, we view this as a positive development over the longer term.” Deloitte forecast that Hong Kong would rank at least third globally in new share fundraising proceeds by the end of 2026. Hong Kong held the global IPO crown last year and in the first quarter of this year. Additional reporting by Enoch Yiu