(Reuters) – Emergency corporate fundraising and a clamour for tech stock market listings pushed equity capital market volumes to over $1 trillion in 2020 and fees for investment bankers in the sector to a record high, data showed.
As the COVID-19 pandemic raged across the world, companies turned to their shareholders in droves to get the funding needed to get through a bruising global recession.
Combined with demand for new growth-oriented companies — particularly tech — in an era of record low interest rates, that was responsible for a record-shattering year in stock market fundraising, bankers and analysts said.
Global equity capital markets (ECM) activity rocketed by 55% to a record $1.1 trillion in 2020, data from Refinitiv showed. (Graphic: Global ECM volumes hit $1 trillion for the first time – https://graphics.reuters.com/GLOBAL-ECM/WRAP/qmyvmqydavr/chart.png)
For an interactive version of this chart, click here:https://tmsnrt.rs/2KMWs5I
The year was characterised by companies spanning from airlines to retail and hospitality scrambling for funds to weather the pandemic or to repay emergency government loans.
Airlines operators such as Lufthansa and British Airways owner IAG led