Hong Kong IPO Market Poised for Breakout: HK$320-350B in 2026, 150 Listings Expected

The PwC report and corroborating analyses show that 2025 has proven to be a breakout year for the Hong Kong IPO market. With nearly HK$285.8 billion raised over 119 IPOs, Hong Kong reclaimed the global top position for IPO fundraising—driven by large “mega-IPOs,” sectoral shifts toward industrials, materials and technology, and growing international/investor confidence.

From an investor banking perspective, several strategic dynamics are emerging. First, listings by A-share companies (so-called A-H listings) have played an outsized role in funds raised—and this is likely to continue as mainland Chinese firms increasingly view Hong Kong as a gateway to international capital. Similarly, the introduction of specialist technology listing regimes (18C innovation, 18A biotech) and the TECH enterprise channel have lowered regulatory frictions for early-stage and innovative companies.

Second, there has been a divergence between the number of listings and where capital is concentrated: while 119 listings reflect strong deal flow, a small number of large IPOs (55 raising HK$1 billion+, several exceeding HK$5 billion, and the top deals contributing the bulk of proceeds) drive most of the volume. For bankers, that means deal sourcing will increasingly favor larger, high-profile issuers.

Third, sectoral strength lies in industrials & materials, tech/IT/Telco, biotech/healthcare, and consumer/retail. Consumer goods and services led by deal count; industrials & materials by funds raised. The government’s push for domestic demand, innovation, and self-reliance amplifies these sectors’ attractiveness. Emerging technology sectors (AI, biotech, etc.) will be priority areas, supported by recent regulatory reforms.

Looking ahead to 2026: PwC and Deloitte anticipate HK$320-350 billion in IPO proceeds from ~150 successful listings, including more companies raising over HK$5 billion and continued influx of A-share companies. However, risks may chip away at growth: heightened Chinese regulation of AI and cybersecurity, global economic uncertainty (interest rates, trade policy), and investor sentiment shifts are all plausible headwinds.

For investment banks, this means opportunity will cluster with high-quality, large-scale deals and with issuers that have cross-border appeal. Advisory teams must also navigate tightening regulatory angles, build relationships across mainland China, and ensure readiness for emerging sectors. Capital markets teams should evaluate articulation of valuations under new listing regimes and be prepared for larger disclosure or compliance burdens. Open questions include the pace of regulation over AI/tech listings, how many of the current 300+ IPO applications convert, and whether global macro volatility might dampen investor risk appetite in 2026.