China Equity Capital Markets Review
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China Equity Capital Markets Review MANAGING UNDERWRITERS & LEGAL ADVISORS FIRST THREE QUARTERS 2020 China Equity Capital Markets Review First Three Quarters 2020 | Overall Review Deals Intelligence China Equity Capital Markets Issuance - Issue Type Composition Chinese equity and equity-linked (ECM) proceeds raised US$172.9 billion in the first three quarters of 2020, a 94.2% increase compared $200.0 900 to the same period last year, Number of equity issuances also grew by 92.4% year-on-year. 800 Total initial public offerings (IPOs), including first-time offerings, issued by China-domiciled companies raised an aggregate amount of US$85.1 billion, up 148.1% from the first three quarters of 2019, as number of IPOs increased 101.5% from a year ago. A-Share IPOs 700 $150.0 raised US$46.6 billion, up 126.6% from a year ago, alongside a 137.0% increase in number of A-Share issuances. Semiconductor Manufacturing International Corp raised US$7.6 billion via IPO in July, making it the biggest IPO in China for the first three quarters of 600 2020. 500 Follow-on offerings grew and raised US$59.9 billion in proceeds, up 184.4% year-on-year. Chinese convertibles, or equity-linked $100.0 issuance, totaled US$27.8 billion, a 17.3% decline compared with a year ago. Number of convertible offerings reached to 151, a 73.6% 400 increase compared with a year ago. 300 High Technology accounted for 18.8% of the China ECM proceeds worth US$32.5 billion, up 83.5% from a year ago. Healthcare captured $50.0 16.2% market share and raised US$28.0 billion, up 222.0% compared to the first three quarters of 2019. Industrials followed in the third 200 place with the market share of 12.6%. 100 CITIC currently leaded the rankings this year for China ECM underwriting, capturing 9.6% market share with US$16.6 billion in related $0.0 0 proceeds. China International Capital Co followed in second place with 9% market share worth US$15.5 billion in proceeds while Morgan 9M'11 9M'12 9M'13 9M'14 9M'15 9M'16 9M'17 9M'18 9M'19 9M'20 Stanley Huaxin Securities took third place with 8.8% market share. IPO (US$bil) Follow-On (US$bil) Convertible (US$bil) # of Issues Top China Equity & Equity-Related Deals China Equity Capital Markets - Macro Industry Composition Securities Listing Proceeds Issue Date Issuer Name Stock Exchange (US$mil) Issue Type Macro Sector Semiconductor Manufacturing International 07/06/2020 Shanghai STAR 7,587.1 Follow-On High Technology Corp $32.5 06/11/2020 JD.com Inc Hong Kong 4,459.1 Follow-On Retail Beijing-Shanghai High Speed Railway Co 01/02/2020 Shanghai Main 4,404.5 IPO Industrials 152 Ltd $53.9 213 06/07/2020 NetEase Inc Hong Kong 3,129.8 Follow-On High Technology 07/27/2020 Haitong Securities Co Ltd Shanghai Main 2,859.2 Follow-On Financials High Technology Healthcare 07/10/2020 Contemporary Amperex Technology Co Ltd Shenzhen ChiNext 2,814.7 Follow-On Energy and Power Industrials 09/04/2020 Yum China Holdings Inc Hong Kong 2,227.9 Follow-On Retail 111 Financials $28.0 08/12/2020 Ke Holdings Inc New York 2,120.0 IPO Real Estate Materials Others 07/10/2020 China Bohai Bank Co Ltd Hong Kong 2,050.7 IPO Financials 121 06/16/2020 China Pacific Insurance (Group) Co Ltd London 1,965.4 Follow-On Financials $15.5 35 148 09/24/2020 China Yangtze Power Co Ltd London 1,828.4 Follow-On Energy and Power $21.7 09/08/2020 Wuxi Apptec Co Ltd Shanghai Main 1,771.7 Follow-On Healthcare $21.1 Outer Ring: Proceeds (US$bil) 08/28/2020 NIO Inc New York 1,730.2 Follow-On Industrials Inner Ring: # of Issues www.refinitiv.com/dealsintelligence China Equity Capital Markets Review First Three Quarters 2020 | Chinese A-Share & Overseas Chinese A-Share Equity & Equity-Related Volume Chinese A-Share Equity Capital Markets by Industry Top Chinese A-Share IPO Deals $120 700 Issue Issuer IPO Listing Proceeds Issue Macro Date Name Exchange (US$mil) Type Sector Semiconductor Manufacturing Shanghai Follow- 07/06/20 $7,587.1 High Technology 600 International Corp $100 STAR On $22.2 $23.8 Beijing-Shanghai High Shanghai 01/02/20 $4,404.5 IPO Industrials Speed Railway Co Ltd Main 500 122 126 Shanghai $80 07/30/20 Cathay Biotech Inc $793.5 IPO Healthcare STAR High Technology 400 Shanghai Follow- Industrials 07/29/20 CanSino Biologics Inc $742.8 Healthcare $60 STAR On Materials Shanghai Junshi Shanghai Follow- 300 07/01/20 $683.9 Healthcare 62 Biosciences Co Ltd STAR On $10.9 Financials $40 Beijing Roborock Shanghai Healthcare 02/10/20 $647.2 IPO Industrials 200 Technology Co Ltd STAR 21 135 $16.0 Others China Resources Shanghai 02/10/20 $617.7 IPO High Technology $20 Microelectronics Ltd STAR 100 Shenzhen 106 09/03/20 Winner Medical Co Ltd $542.9 IPO Consumer Staples $14.1 ChiNext $0 0 Shaanxi Beiyuan Chemical Shanghai $14.4 09/28/20 $539.2 IPO Materials 9M'11 9M'12 9M'13 9M'14 9M'15 9M'16 9M'17 9M'18 9M'19 9M'20 Industry Group Co Ltd Main Outer Ring: Proceeds (US$bil) Imeik Technology Shenzhen IPO (US$bil) Follow-On (US$bil) Convertible (US$bil) # of Issues Inner Ring: # of Issues 09/15/20 $526.8 IPO Healthcare Development Co Ltd ChiNext Chinese Overseas Equity & Equity-Related Volume Chinese Overseas Equity Capital Markets by Industry Top Chinese Overseas IPO Deals $80 250 Issue Issuer IPO Listing Proceeds Issue Macro Date Name Exchange (US$mil) Type Sector Follow- $70 06/07/20 JD.com Inc Hong Kong $4,459.1 Retail On 200 $17.2 Follow- $60 06/07/20 NetEase Inc Hong Kong $3,129.8 High Technology $20.3 On 49 Follow- 09/04/20 Yum China Holdings Inc Hong Kong $2,227.9 Retail $50 On 150 Healthcare 80 08/12/20 Ke Holdings Inc New York $2,120.0 IPO Real Estate $40 Retail High Technology 07/10/20 China Bohai Bank Co Ltd Hong Kong $2,050.7 IPO Financials 100 $30 Real Estate 17 China Pacific Insurance Follow- Financials 06/16/20 London $1,965.4 Financials (Group) Co Ltd On Others $20 $10.6 China Yangtze Power Co Follow- 50 09/24/20 London $1,828.4 Energy and Power $7.0 26 Ltd On $10 14 08/26/20 XPeng Inc New York $1,720.4 IPO Industrials 22 $0 0 Hangzhou Tigermed Follow- Consumer Products $7.6 07/31/20 Hong Kong $1,588.7 9M'11 9M'12 9M'13 9M'14 9M'15 9M'16 9M'17 9M'18 9M'19 9M'20 $8.7 Consulting Co Ltd On and Services Outer Ring: Proceeds (US$bil) Follow- Consumer Products IPO (US$bil) Follow-On (US$bil) Convertible (US$bil) # of Issues 09/22/20 ZTO Express (Cayman) Inc Hong Kong $1,265.9 Inner Ring: # of Issues On and Services Note: Both top Chinese A-share and overseas IPO deals rankings include original IPOs and first-time listings which are technically classified as follow-on offers in Refinitiv database. www.refinitiv.com/dealsintelligence China Equity Capital Markets Review First Three Quarters 2020 | Managing Underwriters All Chinese Chinese A-Share Chinese Overseas Equity & Equity-Related YoY Change ($) 94% QoQ Change ($) 96% Equity & Equity-Related YoY Change ($) 68% QoQ Change ($) 141% Equity & Equity-Related YoY Change ($) 149% QoQ Change ($) 51% Rank Rank Proceeds Market Mkt. # of Rank Rank Proceeds Market Mkt. # of Rank Rank Proceeds Market Mkt. # of Bookrunner Bookrunner Bookrunner 2020 2019 US$mil Share Sh. Chg Deals 2020 2019 US$mil Share Sh. Chg Deals 2020 2019 US$mil Share Sh. Chg Deals CITIC 1 1 16,624.2 9.6 -1.9 92 CITIC 1 1 13,584.9 13.4 -2.6 72 Morgan Stanley Huaxin Securities 1 2 12,787.2 17.9 4.1 50 China International Capital Co 2 3 15,548.6 9.0 0.8 78 China Securities Co Ltd 2 2 13,376.2 13.2 4.0 55 China International Capital Co 2 4 6,742.4 9.5 2.9 43 Morgan Stanley Huaxin Securities 3 5 15,210.4 8.8 3.8 58 China International Capital Co 3 3 8,806.2 8.7 -0.2 35 Goldman Sachs & Co 3 1 5,661.5 7.9 -6.1 34 China Securities Co Ltd 4 4 13,459.8 7.8 1.4 58 Guotai Junan Securities 4 8 6,726.7 6.6 3.2 42 Citi 4 7 4,718.4 6.6 1.8 23 Guotai Junan Securities 5 10 7,644.3 4.4 1.5 56 Huatai Securities Co Ltd 5 7 5,726.8 5.6 1.7 37 BofA Securities Inc 5 9 4,542.0 6.4 2.4 19 Huatai Securities Co Ltd 6 11 7,536.2 4.4 1.5 51 Haitong Securities Co Ltd 6 9 4,095.1 4.0 1.1 30 UBS 6 6 4,271.4 6.0 1.1 23 Haitong Securities Co Ltd 7 9 6,132.0 3.6 0.3 65 China Merchants Securities Co 7 5 3,139.3 3.1 -1.5 20 JP Morgan 7 3 4,110.9 5.8 -2.1 23 Goldman Sachs & Co 8 2 6,043.3 3.5 -5.1 37 Minsheng Securities Co Ltd 8 13 2,786.9 2.8 0.7 32 Credit Suisse 8 5 3,424.2 4.8 -0.1 23 Citi 9 15 4,718.4 2.7 0.9 23 Sinolink Securities Co Ltd 9 39 2,726.2 2.7 2.3 26 CITIC 9 14 3,039.3 4.3 2.4 20 JP Morgan 10 13 4,689.4 2.7 -0.1 26 Guosen Securities Co Ltd 10 12 2,441.5 2.4 -0.1 19 China Merchants Bank 10 11 2,249.7 3.2 0.0 34 BofA Securities Inc 11 17 4,542.0 2.6 0.9 19 Morgan Stanley Huaxin Securities 11 26 2,423.2 2.4 1.5 8 Haitong Securities Co Ltd 11 8 2,036.9 2.9 -1.2 35 UBS 12 7 4,361.4 2.5 -1.0 24 Dongxing Securities 12 14 2,098.9 2.1 0.1 18 Huatai Securities Co Ltd 12 25 1,809.4 2.5 1.7 14 China Merchants Securities Co 13 6 3,741.0 2.2 -1.3 31 Industrial Securities Co Ltd 13 37 1,948.4 1.9 1.5 20 HSBC Holdings PLC 13 10 1,642.7 2.3 -1.0 10 Credit Suisse 14 12 3,609.1 2.1 -0.8 25 Essence Securities Co Ltd 14 23 1,834.0 1.8 0.6 17 Industrial & Comm Bank China 14 15 1,238.2 1.7 0.1 14 Minsheng Securities Co Ltd 15 18 2,786.9 1.6 0.2 32 Everbright Securities Co Ltd 15 18 1,739.4 1.7 0.2 20 Bank of China Ltd 15 23 1,129.1 1.6 0.7 11 Sinolink Securities Co Ltd 16 51 2,726.2 1.6 1.3 26 Orient Securities Co Ltd 16 20 1,645.9 1.6 0.1 13 Agricultural Bank of China 16 13 1,061.1 1.5 -0.4 17 Guosen Securities Co Ltd 17 16 2,486.3 1.4 -0.3 25 Shenwan Hongyuan Securities Co 17 21 1,523.7 1.5 0.1 12 China Renaissance Holdings Ltd 17 17 1,026.7 1.4 0.1 5 China Merchants Bank 18 26 2,249.7 1.3 0.3 34 Ping An Securities Ltd 18 16 1,251.4 1.2 -0.7 9 China Construction Bank 18 16 939.0 1.3 0.0 15 HSBC Holdings PLC 19 22 2,119.2 1.2 0.1 11 China Galaxy Securities Co 19 24 1,230.6 1.2 0.0 7 Guotai Junan Securities 19 12 917.6 1.3 -0.7 14 Dongxing Securities 20 19 2,110.1 1.2 -0.2 20 China Dvlp Bank Sec Co Ltd 20 25 1,191.3 1.2 0.3 2 Jefferies LLC 20 28 883.7 1.2 0.6 7 Industry Total 172,855.6 100.0 781 Industry Total 101,473.0 100.0 572 Industry Total 71,382.6 100.0 209 All Chinese Chinese A-Share Chinese Overseas IPOs YoY Change ($) 148% QoQ Change ($) 136% IPOs YoY Change ($) 127% QoQ Change ($) 244% IPOs YoY Change ($) 180% QoQ Change ($) 69% Rank Rank Proceeds Market Mkt.