The initial Public Offering (IPO) market has been relatively quiet throughout the time since the outbreak. A lot of companies have decided to postpone or pull their IPOs due to uncertainty in the economy and volatile stock markets and changing investors’ sentiment. Actually, 2021 could be a record year, not in terms of IPO listing, but rather for the amount of IPOs delayed or cancelled because of unfavorable market conditions.
However, this downturn isn’t going to last for long. It has been proven time and again that after every recession, IPO activity experiences a positive recovery. Private and public companies alike rely on IPOs as a crucial method to increase capital for investors in the early stages such as venture capitalists, venture capitalists, and private equity companies. With the increasing number of companies with high growth potential in the areas of healthcare, technology and AI-driven fields Market experts anticipate the coming increase in IPOs.
In the meantime, as the IPO market expands and companies are preparing for the complex and competitive public offer process. Before seeing list of 10 to IPO’s in World we have covered list of best companies with Highest IPO in India till 2025.
10 largest IPOs in the history of the world:
Initial Public Offerings (IPOs) are an essential step for companies seeking to raise capital and expand their operations and get a competitive edge in the marketplace. Certain IPOs don’t just make news but also alter economics and industries at a global level. Here’s a thorough analysis of the largest IPOs in the history of the world in relation to their significance and the impact they had on their respective industries.
Saudi Aramco (2019) – $29.4 Billion
The Biggest IPO in History & the Future of Oil
Its IPO was remarkable, netting $29.4 billion and breaking the record for the biggest IPO ever. Listing of the Tadawul stock exchange (Saudi Arabia) was a significant step towards the Crown Prince Mohammed bin Salman’s Vision 2030, aimed at decreasing Saudi Arabia’s dependence on oil.
Why It Was Significant:
Despite the worldwide push for renewable energy sources, the IPO confirmed the dominance of oil in the global economy.
- Saudi Aramco became the most important publicly traded company beating Apple and Amazon at the time.
- The money was employed to diversify the economy and investment in renewable energy as well as infrastructure projects.
Impact Effect: This IPO showed Saudi Arabia’s vision for the future and proved that the traditional energy giants can adjust to a evolving global environment.
Alibaba Group (2014) – $25 Billion
The Rise of E-Commerce & China’s Digital Domination
Alibaba’s IPO on the New York Stock Exchange (NYSE) is as one of the more recognizable public offerings in the history of tech. Alibaba’s e-commerce company raised more than $25 billion and was the largest IPO ever to be held on the U.S. exchange.
Why It Was Significant:
- Alibaba revolutionized the world of online retail, logistics and payments through digital technology and is directly competing with Amazon.
- It also highlighted China’s increasing influence in the world economy as well as the dominance of Chinese tech firms in the global market.
- The business model of the company grew beyond e-commerce, including artificial intelligence, cloud computing and fintech solutions like Alipay.
The impact: Alibaba’s success has paved an avenue for Chinese tech companies such as JD.com as well as Meituan to make their way into international markets.
SoftBank Corp (2018) – $21.3 Billion
Japan’s Tech Powerhouse & Global Investments
SoftBank’s IPO was the largest in Japan and third-largest IPO in the world in the year it was launched, bringing in $21.3 billion. The giant of investment and telecom that is led by Masayoshi Son is a major factor in the development of the development of startups, by funding companies such as Uber, WeWork, and Arm Holdings.
Why It Was Significant:
- Contrary to traditional telecom firms, SoftBank used its IPO to help fund the creation of AI-driven startups and tech startups.
- The IPO funds were partly utilized to repay debts which helped improve the financial position of the company.
- It demonstrates Japan’s growing influence to shape the world’s technology and venture capital markets.
The impact: SoftBank became a key participant in global tech investments and has changed the way startups get money.
NTT Mobile Communications Network (1998) – $18.1 Billion
Japan’s Telecom Giant & the Mobile Revolution
The IPO of NTT Mobile (now NTT Docomo) was a landmark event in the history of telecommunications. The company raised $18.1 billion in the process, this IPO was instrumental in expanding the mobile infrastructure in Japan and established NTT as a pioneer in technological advancements for wireless.
Why It Was Significant:
- The phone was launched at a time that mobile technology was rapidly changing and set the stage for the future of 5G and mobile networks.
- Japan was able to become a global technological leader in mobile internet many some years before Western markets.
- The IPO was a catalyst for research into the next-generation mobile technology, and shaped the industry of telecom.
The impact of this IPO confirmed Japan’s role in pioneering mobile internet service that was later replicated by the rest of the world.
AIA Group (2010) – $17.8 Billion
The Expanding Insurance Market in Asia
AIA’s $17.8 billion IPO in Hong Kong was a major move in the transformation of the Asian insurance market. Being an affiliate of AIG, AIA was spun off in 2008 following the financial crisis. It rapidly established itself as the major company in the life insurance industry.
Why It Was Significant:
- It capitalized on the expanding middle class and rising need for financial security services.
- A turnaround was seen for AIG that was in the process of restructuring following its bailout.
- It was demonstrated that insurance is an industry with high growth potential in emerging markets.
Impact : The AIA IPO helped Hong Kong cement its position as a hub for finance and showcased that life insurance has potential in Asia.
Visa Inc. (2008) – $17.4 Billion
The Digital Payment Revolution Begins
Its $17.4 billion IPO was notable in that it was held in the midst of one of the most devastating financial crises of the past. When traditional banks fell and Visa’s IPO showed the resilience of electronic payment.
Why It Was Significant:
- It highlighted the transition from cash transactions to digital and defining the future of fintech.
- The success of Visa has fueled the growth of mobile payment E-wallets, blockchain-based transactions.
- The project was used as a model for future fintech IPOs such as PayPal as well as Square.
Effect: Visa remains one of the most successful fintech firms and is growing into a world leader in the field of digital payments.
Meta Platforms Inc. (formerly Facebook) (2012) – $16 Billion
The Social Media Boom & Advertising Dominance
The $16 billion IPO was a pivotal moment for the financial viability of social media. In spite of initial fears regarding monetization Facebook was able to become a world leading digital advertising platform.
Why It Was Significant:
- It was demonstrated that social media can generate huge revenues from advertising.
- This led to the growth of influencer marketing, ad-tech and AI-driven recommendations for content.
- The social media platforms were also encouraged, such as Twitter as well as Snapchat to make their platforms open to the public.
Effect: Meta (Facebook) now dominates advertising worldwide, with billions of dollars in annual revenue.
General Motors (2010) – $15.8 Billion
The Largest IPO in U.S. Automotive History
After its bankruptcy in 2009, General Motors (GM) made a stunning return, raising $15.8 billion during one of the largest auto company Initial public offerings.
Why It Was Significant:
It was demonstrated that bailouts from the government could help, restoring confidence in the automotive industry.
The government allowed GM the ability to purchase electric vehicle (EVs) and an initiative that was later used to position it as an important electric vehicle player.
The impact of The GM IPO opened the door to Tesla and Rivian’s successes in the EV sector.
Conclusion: The importance of IPOs is for businesses seeking to raise capital or expand. The largest IPOs typically fall under the finance, tech and energy industries which reflect global trends. Future public offerings in AI and space technology and fintech could change the market. Hope we have given the list of top IPO’s in World genuinely. Any suggestions please do let us know