Showing resilience: SME IPO wagon chugs along amid mainboard slowdown

Retail investors' exuberance, driven by strong after-listing performances, is the primary reason for the robust fundraising through the SME segment

The market slump has brought mainboard initial public offerings (IPOs) to a grinding halt, but the small and medium enterprises (SME) segment continues to thrive.

 

In the first two months of this year, 40 SME IPOs hit the market, up from 34 in the same period last year. In contrast, only nine mainboard IPOs were executed in January and February, down from 16 in the same period last year. This momentum has continued into March, with half a dozen SME IPOs hitting the market, even as the mainboard is yet to see a single deal. 

 

Retail investors’ exuberance, driven by