The Southeast Asia region’s initial public offering (IPO) market stabilized in the third quarter of 2025, with 25 listings raising $2.5 billion in the quarter, up from 22 IPOs raising $700 million in the second quarter of 2025, EY said Wednesday.
According to its latest EY Global IPO Trends report, this represents a 22 percent decline in deals but 54 percent increase in proceeds versus 2024, indicating larger average deal sizes.
Singapore emerged as the regional leader with six deals raising $1.5 billion.
The strong performance was driven by two large real estate investment trusts (REITs) listings – NTT DC REIT and Centurion Accommodation REIT.
This surge elevated SGX to sixth place among global exchanges, indicating government reforms are showing results ahead of schedule.
Other active markets in the region included Indonesia (8 IPOs raising $478 million), Malaysia (8 IPOs raising US$94 million), Thailand (2 IPOs raising $5 million) and Vietnam (1 IPO raising $410 million).
“Singapore’s remarkable third quarter turnaround demonstrates the market’s underlying resilience,
“We expect this momentum to accelerate through year-end as reforms take hold,” said Yew Kiang Chan, EY ASEAN IPO Leader.
According to him, Singapore’s push for regulatory reforms aimed at injecting liquidity into the market has led to improving sentiments and growing interest in the local bourse.
“While companies in Singapore may continue to pursue cross-border listings in Hong Kong and the US, the country has seen increased interest driven by pro- market reforms, while maintaining its reputation as a stable, well-regulated and free market that is attracting companies amid geopolitical tensions,” he added.
Malaysia has also continued its momentum in attracting listings in the country with positive IPO returns, he said.
According to him, the region’s IPO pipeline is expected to remain strong across diversified industries, supported by improving valuations and liquidity.
“Discussions with intermediaries and corporates also indicate that activity levels are likely to increase,
“Companies exploring capital market alternatives should prepare early and remain ready to act within narrow market windows as market sentiment continues to improve,” he added.
Meanwhile, global IPO momentum is accelerating, with third quarter witnessing a 19 percent year-over-year increase in deal volume and an impressive 89 percent surge in proceeds.
The US led the rebound, supported by a constructive market backdrop and generally positive IPO pricing and trading outcomes.
Notably, India demonstrated remarkable momentum, with deal volumes tripling and proceeds nearly quadrupling compared to the second quarter, reflecting a vibrant domestic market.
Greater China and the Middle East also sustained their paces, with Europe beginning to see signs of revival, bolstered by regulatory reforms and an improving macro backdrop.
It is noted that global stock exchanges are accelerating reforms to boost competitiveness, streamline listings and attract innovative firms.
Meanwhile, regulators are tightening safeguards to balance innovation with investor protection.
These initiatives highlight a dual-track approach: creating faster, more flexible access to capital to boost fundraising while embedding protections that reduce volatility and restore confidence.
While still heavily relying on merger and acquisition (M&A) and secondary sales, private equity firms are increasingly turning to IPOs as a viable exit strategy amid improving public market conditions.
In the first nine months of 2025, private equity-backed IPO listings more than doubled year on year, signaling renewed investor confidence in IPO exits.
This trend is particularly evident in the US, Greater China and the Nordics, where PE-backed deals surged.
The strong post-IPO performance, especially in sectors adapting to AI and digital transformation, underscores the growing preference for public visibility and long-term value creation among private equity sponsors.
“Global IPO momentum, fueled by robust equity markets, monetary easing and more accommodative financial conditions, is accelerating,
“For issuers, opportunities expand for those who can harness macro trends, translate artificial intelligence (AI)-driven disruption into growth, navigate geopolitical complexity and deliver narratives that resonate with investor selectivity and long-term value creation,” said George Chan, EY Global IPO Leader.
According to the report, resilient optimism is driving IPO momentum globally, supported by monetary easing, strong corporate earnings, robust IPO returns and lower market volatility, all of which are boosting investor confidence – especially in sectors adapting to AI and digital transformation.
Despite the positive momentum, EY said market sentiment remains affected by ongoing tariff disputes and political volatility, which continue to cast a shadow over deal-making.
It noted investors are increasingly seeking resilient business models that can withstand market fluctuations and deliver sustainable growth.
It opined that companies looking to go public must anticipate and adapt to these shifts by diversifying their strategies and aligning with external changes.
The transition to a new economy, marked by climate adaptation, digital transformation and geopolitical recalibration requires IPO candidates to align their equity story with macro trends, manage external risks, and articulate a resilient, forward-looking strategy that resonates with investors, it added.