Insights
Insights
KPMG reports, M&A trends, and owner exit stories — read the market with our specialists.
US IPO Funding Up 73%, China Down 77% — The Concentration of Global Capital Has Shifted
Global IPO capital is concentrating in the US. In 2024, the US reclaimed the global #1 spot in IPO funding, surging 73.4% year-on-year.
Samjong KPMG Economic Research Institute's report analyzes 2024 global IPO market trends and the structural characteristics of the US IPO market, and outlines key considerations for Korean companies contemplating a US listing — using Coupang's case as a focal point.
Reshuffling of the global IPO landscape: US and India rise, China falls sharply. By 2024 IPO funding: US USD 42.06 billion (230 deals), India USD 20.99 billion (338), and EU USD 16.39 billion (67). China, by contrast, collapsed 77.7% in funding and 67.0% in deal count to USD 10.79 billion (104). Korea reached USD 2.02 billion (111) — down 9.1% year-on-year. From H2 2024, expectations of US rate cuts and the Trump election accelerated capital inflows, but volatility has since expanded again amid sweeping tariff policy and uncertainty.
Structural strengths of the US IPO market: future growth over present earnings. The US IPO market allows listings by companies with negative EPS, which made up 62% of issuers in 2024. Tech and life-sciences companies accounted for 44%, a structure friendly to growth companies. Access to global institutional investors, deep liquidity, and brand-status uplift for listed companies are distinguishing advantages. Coupang's NYSE direct listing in 2021 (pre-valuation USD 56.53 billion, raising USD 4.55 billion) — despite operating losses at the time — set a new milestone for US listings by Korean venture and startup companies.
Key checkpoints when Korean firms consider a US listing. A US listing requires governance restructuring such as a Delaware incorporation, meeting SEC disclosure standards, and building a US investor network. The core is presenting a persuasive growth story, TAM (total addressable market), and global expansion potential to investors.
What this means for M&A. The structural features of the US IPO market suggest three implications for Korean companies' capital-raising and M&A strategies. First, large-scale funding via a US listing can be the starting point to secure capital for subsequent overseas bolt-on acquisitions, likely energizing pre-deal sourcing by US-IPO-bound companies. Second, Korean tech, biotech, and defense companies with strong global growth narratives may find cross-border M&A opportunities as they raise pre-IPO funding or build strategic partnerships to lift valuations ahead of a US listing. Third, the sharp contraction of China's IPO market and US–China technology decoupling are strengthening capital inflows into alternative markets such as Korea and India, likely raising the interest of foreign strategic investors (SIs) and financial investors (FIs) in Korean growth companies.