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IPO Watch Europe Survey Q4 2011

Table of contents
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2011 overview 2011 European IPO activity by value and volume 2011 volume and value by exchange Q4 11 European IPO activity by value and volume IPO offering value IPO volume Top five IPOs IPOs by sector and value Offering value of IPOs by month Volume of IPOs by month EU- versus exchange-regulated markets IPOs by market US activity About IPO Watch Europe
Q4 2011 IPO Watch Europe Survey PwC

Though 2011 IPO values in Europe and the US remained fairly static compared to 2010 levels, Greater China saw a 42% drop in money raised
2011 overview

Stock exchange

IPOs 2011

Offering value (m) 2011 26,491 25,581 25,053 11,678 20,118 528 57,377

IPOs 2010

Offering value (m) 2010 26,322 29,556 43,618 21,069 33,318 619 98,624

Europe total US total Hong Kong Shanghai Shenzhen Taiwan Greater China total

430 134 90 39 243 48 420

381 168 102 28 321 39 490

Q4 2011 IPO Watch Survey PwC

Despite a subdued end to 2011, European IPO figures increased by 14% and 1% for volume and value respectively year on year, with the total offering value remaining broadly flat
2011 European IPO activity by volume
800 700 600 Number of IPOs 500 400 300 200
295 126 380 430 771

2011 European IPO activity by value

90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 80,449

Offering value (m)

26,286 13,953 7,112

26,491

100
0 2007 2008

2009

2010

2011

2007

2008

2009

2010

2011

Number of IPOs
2007 Total European listings of which: - No money raised - Money raised Average offering value 119 652 123 2008 81 214 65 2009 30 96 74 2010 75 305 86

Value of IPOs
2011 87 343 77

Average offering value has been calculated based on total offering value over the number of listings raising money.

Q4 2011 IPO Watch Survey PwC

In 2011, London raised over half of all value on its exchange with 14,607m. Warsaw hosted the most transactions 203 in total.
2011 European IPO activity by volume
Oslo Brs & Axess Deutsche Brse 3% 4% Luxembourg 5% NYSE Euronext 6% Warsaw 47%

2011 European IPO activity by value

Borsa Italiana 2% Oslo Brs & Axess 3% Deutsche Brse 6% Warsaw 8% London 53% Luxembourg 2% Others 3%

Others 3%

NASDAQ OMX 7%

London 25%

BME (Spanish Exchanges) 23%

Q4 2011 IPO Watch Survey PwC

In Q4 2011, average offering values plummeted 81% from Q3 2011 and 83% year on year with just 866m raised across 78 transactions
Q4 11 European IPO activity by value and volume
160 16,000

140
Volume of IPOs 120 100 80 60 40 20 Q4 2010 Q1 2011 Q2 2011 IPOs Q4 2011 Total European listings comprise those with: - No money raised - Money raised Average offering value (m) * 28 50 Q3 2011 Value m Q4 2010 26 103 Q4 2011

14,000
12,000 10,000 8,000 6,000 4,000 2,000 Value of IPOs (m)

Q3 2011 16 105

17

98

89

* Average offering value has been calculated based on total offering value over the number of listings raising money.

Q4 2011 IPO Watch Europe Survey PwC

London dominated activity in a muted quarter, raising 800m, representing 92%, of total European IPO value
IPO offering value
Warsaw 2% NASDAQ OMX 3% Oslo 1% Borsa Italiana 1% Others 1%

Average offering value

Stock exchange

Average offering value (m) Q4-2011 89 31 5 4 3 2 -

Average offering value (m) Q4-2010 89 429 41 493 1,041 23 48 42 18 15

London Stock Exchange NASDAQ OMX Deutsche Brse Oslo Brs & Oslo Axess Borsa Italiana NYSE Euronext SIX Swiss BME (Spanish Exchanges) Luxembourg Warsaw (1)

London 92%

Average offering value has been calculated based on total offering value over the number of listings raising money. (1) Cumulatively Warsaw's average offering value was 0.4m in Q4.11. However, this rounds down to zero.

Q4 2011 IPO Watch Europe Survey PwC

Warsaw led the way with 42 low value transactions this quarter, mainly on NewConnect
IPO volume
Others Oslo 6% 3%
Stock exchange EU REGULATED London Stock Exchange Group (London Main) NASDAQ OMX (Main) Deutsche Brse (Prime and General Standard) Warsaw (Main) Wiener Brse BME (Spanish Exchanges) (Main) Oslo Brs NYSE Euronext (Euronext) London Stock Exchange Group (Borsa Italiana Main) SIX Swiss Exchange EU regulated sub-total EXCHANGE REGULATED London Stock Exchange Group (London AIM) London Stock Exchange Group (London SFM) Warsaw (NewConnect) (1) Oslo Axess London Stock Exchange Group (Borsa Italiana AIM) NYSE Euronext (Alternext) NASDAQ OMX (First North) Luxembourg (EuroMTF) Deutsche Brse (Entry Standard) BME (Spanish Exchanges) (MAB) Exchange regulated sub-total Europe total IPOs Q4-2011 4 4 2 4 1 15 10 1 38 2 2 1 7 1 1 63 78 Offering value (m) Q4-2011 672 31 5 708 65 63 15 7 6 2 158 866

Deutsche Brse 4%

NASDAQ OMX 14% Warsaw 54%

London 19%

(1) Cumulatively the WSE NewConnect raised 19m in Q4 2011. However, certain transactions raised an amount that rounded down to nil and the figure above is the sum of the rounded values.

Q4 2011 IPO Watch Europe Survey PwC

4 out of the top 5 IPOs were in London. Polymetal International PLC, the quarters largest IPO, raised 421m and accounted for 49% of all value raised in Europe.
Top five IPOs
Five largest IPOs of Q4 2011 m raised Polymetal International PLC Bilfinger Berger Global Infrastructure SICAV SA Damille Investment II Ltd Hagar hf. Secure Trust Bank PLC Total Sector 421 Mining 251 Investment Company 63 Investment Company 31 Retail 21 Banks 787 Five largest IPOs of Q4 2010 m raised Enel Green Power SPA Gjensidige Forsikring ASA Pandora A/S Mail.Ru Group Limited Statoil Fuel & Retail ASA Total Sector 2,067 Utilities 1,356 Insurance Market Italy Oslo Segment Country of Origin Main Brs Main Main Brs Italy Norway Denmark Russia Norway Market London London London OMX London Segment Country of Origin Main Russia UK Main SFM Main AIM Guernsey Iceland UK

The top five IPOs accounted for 91% of all value raised
Others 9%

1,227 Personal & Household Goods OMX London 669 Media 577 Retail 5,896 Five largest IPOs of Q3 2011 m raised Sector 3,092 Banks 2,378 Retail 1,346 Mining 600 Banks 530 Chemicals 7,946 Market Spain Spain Warsaw Spain London Oslo

Segment Country of Origin Main Main Main Main Main Spain Spain Poland Spain Russia

Bankia SA Dia Jastrzbska Spka Wglowa SA Banca Cvica SA OJSC Phosagro Total

Top 5 IPOs 91%

Q4 2011 IPO Watch Europe Survey PwC

Mining and Investment Companies raised 85% of offering value in Q4 2011 but represented 9% of IPO volume
IPO sectors by value
Pharmaceuticals & Biotech Basic Resources 2% 2% Industrial Goods & Services 2% Banks 2% Retail 4% Others 3%
Sector Industrial Goods & Services Technology Financial Services Oil & Gas Mining Health Care Personal & Household Goods Investment Companies Pharmaceuticals & Biotech Travel & Leisure Basic Resources Media Retail Utilities Real Estate Automobiles & Parts Construction & Materials Food & Beverage Banks Telecommunications Chemicals Insurance Total

Company IPOs Q4-2011

19 12 7 4 4 4 4 3 3 3 3 2 2 2 1 1 1 1 1 1 78

Company IPOs Q4-2010

21 13 7 6 12 2 4 15 7 3 5 4 5 7 1 4 4 2 3 3 1 129

Company IPOs Q3-2011

26 12 5 9 8 6 5 8 7 4 3 4 2 1 4 4 3 3 3 2 1 1 121

Mining 49%

Investment Companies 36%

Q4 2011 IPO Watch Europe Survey PwC

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An exceptionally poor quarter, with the largest IPO, Polymetal International PLC, taking place in November
Offering value of IPOs by month
6,000
5,347

5,000

4,000 Value of IPOs (m)

3,000
2,546 2,222

2,000

1,000
546 314 6

0 October November
2010 2011

December

Q4 2011 IPO Watch Europe Survey PwC

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Although lower, the monthly phasing of IPO activity was consistent with historic Q4 trends

Volume of IPOs by month

60 50
42 55

Volume of IPOs

40
32 33 29

30 20 10 0 October November 2010

16

December

2011

Q4 2011 IPO Watch Europe Survey PwC

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In Q4 2011, regulated markets continued to dominate IPOs by value

EU- versus exchange-regulated markets
6,000 5,500 5,000 4,500 Value of IPOs (m) 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 October 2010 2,289 257 5,062 285

384

1,838
125

6 October 2011

421 November 2010 November 2011 December 2010

27 287 December 2011

Exchange Q4 2011 IPO Watch Europe Survey PwC

EU 13

Q4 2011 IPOs by market

Stock exchange IPOs Q4-2011 Offering value (m) Q4-2011 806 31 15 7 5 2 866 Offering value (m) Q4-2011 672 31 5 708 65 63 15 7 6 2 158 866 IPOs Q4-2010 Offering value (m) Q4-2010 5,649 1,286 569 1,972 286 23 72 210 48 10,115 Offering value (m) Q4-2010 2,887 1,277 195 562 197 1,933 23 2,067 48 9,189 573 108 7 39 14 9 72 91 13 926 10,115 IPOs Q3-2011 Offering value (m) Q3-2011 1,169 60 1,464 83 315 65 136 6,078 9,370 Offering value (m) Q3-2011 810 59 300 1,427 6,070 83 43 8,792 205 154 37 22 1 136 15 8 578 9,370 TOTAL London Stock Exchange Group (1) NASDAQ OMX Warsaw Oslo Brs & Oslo Axess Deutsche Brse NYSE Euronext Luxembourg Wiener Brse BME (Spanish Exchanges) SIX Swiss Exchange Europe total Stock exchange 17 11 42 2 3 1 1 1 78 IPOs Q4-2011 52 9 40 5 9 4 4 5 2 129 IPOs Q4-2010 29 4 61 4 5 8 4 6 121 IPOs Q3-2011

EU REGULATED London Stock Exchange Group (London Main) (3) NASDAQ OMX (Main) Deutsche Brse (Prime and General Standard) Warsaw (Main) Wiener Brse BME (Spanish Exchanges) (Main) (3) Oslo Brs NYSE Euronext (Euronext) London Stock Exchange Group (Borsa Italiana Main) SIX Swiss Exchange EU regulated sub-total EXCHANGE REGULATED London Stock Exchange Group (London AIM) (3) London Stock Exchange Group (London SFM) Warsaw (NewConnect) (2) Oslo Axess London Stock Exchange Group (Borsa Italiana AIM) NYSE Euronext (Alternext) NASDAQ OMX (First North) Luxembourg (EuroMTF) Deutsche Brse (Entry Standard) BME (Spanish Exchanges) (MAB) Exchange regulated sub-total Europe total

4 4 2 4 1 15 10 1 38 2 2 1 7 1 1 63 78

19 6 3 15 1 3 3 1 2 52 28 2 25 2 2 1 3 4 6 4 77 129

6 2 4 7 3 2 2 26 22 1 54 2 6 2 4 1 3 95 121

(1) The London Stock Exchange Group comprises the London and Borsa Italiana stock exchanges. (2) Cumulatively the WSE NewConnect raised 19m in Q4 2011. However, certain transactions raised an amount that rounded down to nil and the figure above is the sum of the rounded values. (3) IPOs by market are shown gross of dual listings; however these are netted off in the Europe total number and offering val ues.

Q4 2011 IPO Watch Europe Survey PwC

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US IPOs in Q4 2011 were characterised by a number of larger offerings including Michael Kors and Zynga, which combined with Groupon and Delphi, raised 2.4bn - half of the quarters total proceeds

US activity
Stock exchange IPOs Q4-2011 Offering value (m) Q42011 2,659 2,174 4,833 IPOs Q4-2010 Offering value (m) Q42010 15,927 2,331 18,258 IPOs Q3-2011 Offering value (m) Q32011 1,015 1,218 2,233

NYSE NASDAQ US total

15 13 28

33 31 64

7 14 21

Q4 2011 IPO Watch Europe Survey PwC

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About IPO Watch Europe

IPO Watch Europe surveys all new primary market equity IPOs on Europes principal stock markets and market segments (including exchanges in Austria, Belgium, Denmark, France, Germany, Greece, Holland, Ireland, Italy, Luxembourg, Norway, Poland, Portugal, Spain, Sweden, Switzerland and the UK) on a quarterly basis. Movements between markets on the same exchange and greenshoe offerings are excluded. This survey was conducted between 1 October and December 31 2011 and captures new market IPOs based on their transaction date. All market data is sourced from the stock markets themselves and has not been independently verified by PricewaterhouseCoopers LLP.

Q4 2011 IPO Watch Europe Survey PwC

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This publication has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this publication without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this publication, and, to the extent permitted by law, PricewaterhouseCoopers LLP, its members, employees and agents do not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decision based on it. 2012 PricewaterhouseCoopers LLP. All rights reserved. In this document, PwC refers to PricewaterhouseCoopers LLP which is a member firm of PricewaterhouseCoopers International Limited, each member firm of which is a separate legal entity.