UK Turns to Goldman Sachs to Help Rescue London’s IPO Market

Group 1 - The UK government is collaborating with Wall Street to enhance London's status as a global listing hub, with a focus on attracting initial public offerings (IPOs) [1][2] - A private roundtable will be co-hosted by Chancellor Rachel Reeves and Goldman Sachs' Anthony Gutman, involving executives from technology and growth sectors to promote London as a viable IPO destination [1][2] - The meeting aims to address the UK's attractiveness for listings and highlight recent reforms to improve capital market competitiveness [2] Group 2 - London's IPO market has significantly declined, reaching a 30-year low in August, with the city now ranked 23rd globally for IPO fundraising, even behind Mexico [3] - Proceeds from IPOs in London fell by 69% to $248 million, marking the lowest level in 35 years [3] - The largest IPO in London this year raised £98 million ($132 million), with no involvement from major Wall Street banks, indicating a reliance on smaller local firms [4] Group 3 - The third-quarter IPO volume in London was just $42 million, down 85% compared to the same period last year, reflecting a stark decline in market activity [4] - Competitors view Goldman Sachs' participation in the Treasury-led meeting as unusual, providing the bank with a unique opportunity to pitch to potential listing companies [5] - The partnership underscores concerns that London may permanently lose its competitive edge to New York, where the IPO market is experiencing a resurgence, particularly from crypto and AI firms [5] Group 4 - The disparity between the UK and US IPO markets is growing, with London raising only £160 million ($215 million) across five deals in the first half of 2025, the weakest performance since 1995 [6] - In contrast, US exchanges raised $28.3 billion across 156 listings, primarily driven by next-generation technology and digital asset firms [6]