BMO Predicts as Much as $50 Billion in US IPOs Next Year

  • ‘We’re entering a pretty unique period of time,’ says Benedict
  • IPO activity has been tame for the better part of three years

The improving backdrop for IPOs will help to increase the appetite for taking companies public.

Photographer: Daniel Acker/Bloomberg
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The market for US initial public offerings is expected to accelerate next year, according to senior bankers at BMO Capital Markets, potentially pushing the volume of such deals to a four-year high.

Proceeds for companies selling shares for the first time in the US will probably be between $40 billion and $50 billion next year, according to Eric Benedict, BMO’s co-head of global equity capital markets. That would mark a pick up of at least 32% from what the market has seen so far this year, when measuring companies that raised more than $20 million and when teasing out blank check firms. It would also be the most since the pandemic-rally-fueled boom in 2021, data compiled by Bloomberg show.