Chongqing - Deloitte’s 2025 Q1-Q3 China Mainland and Hong Kong IPO Market Review and Outlook, released on September 23, highlights the Hong Kong Exchanges and Clearing Limited (HKEX) as the global leader in IPO fundraising during this period. With slower listing processes in the A-share market, many Chinese companies are turning to Hong Kong for their IPOs.
The HKEX is the global leader in IPO fundraising in 2025 Q1-Q3. (Photo/Chen Duo)
The report points out that in recent years, the IPO process in China's A-share market has been subject to stricter regulations, slowing its pace. Compared to the last year, both the number of IPO applications and approvals for A-shares have decreased.
Data shows that in 2025 Q1-Q3, a total of 46 companies applied to list on the main boards of Shanghai and Shenzhen stock exchanges, a nearly 50% drop from the 91 companies that applied last year. In addition, 75 companies suspended their IPO reviews during the same period last year, further highlighting the strict scrutiny of the A-share market.
The A-share market shows a clear preference for companies in high-end manufacturing, hard technology, and domestic substitution sectors. Liu Yang, Partner of Deloitte China Capital Markets Services and Western China Listing Business Leader, highlighted that firms in consumer goods and biomedicine face tougher hurdles to list due to fierce competition and regulatory constraints.
In contrast, the Hong Kong market imposes no industry restrictions, making it an attractive platform for companies from diverse sectors to raise capital.
In the Hong Kong market, the report highlights that in 2025 Q1-Q3, 66 new IPOs were successfully launched, raising a total of 182.3 billion HKD (23.44 billion U.S. dollars). This represents a 47% increase in the number of IPOs compared to the same period last year, with the fundraising amount rising by 228%. Six mega-sized IPOs were also recorded in 2025 Q1-Q3.
Chan Benjie, Partner of Deloitte's Capital Market Services Group and Western Region Hong Kong Offering Leader, noted that the steady capital inflow and supportive mainland policies—particularly the streamlined listing process for Chinese companies—have created stronger financing opportunities for large enterprises.
With policy support in place, the Hong Kong market is expected to maintain strong momentum in the final quarter of this year. The report forecasts that the total IPO fundraising in Hong Kong for the entire year will range from 250 billion to 280 billion HKD, with over 80 new IPOs. Companies in sectors such as healthcare, pharmaceuticals, specialized technology, and consumer industries are highlights of the Hong Kong stock market.
In this context, Liu suggests that companies with sufficient funds may choose to prepare for an A-share listing and wait for the right timing. However, for those eager to list, particularly those facing investor pressure or in need of capital to drive business growth, listing in Hong Kong could be a more suitable option.