AFME is pleased to circulate its Equity Primary Markets and Trading quarterly data report for the third quarter of 2024. The report provides detailed data and analysis on the issuance and performance for the equity markets.

Among the main findings of this report:

• Equity underwriting on European exchanges rose 8% in the first three quarters of 2024 compared to the same period of 2023.

• Initial Public Offerings (IPOs) saw a large percentage increase of 87% YtD that was mainly driven by a robust rise during the first two quarters of the year, while in Q3 2024 it represented a small amount of only €0.15bn in deal value, the lowest quarterly amount since Q3 2009.

• Mergers and Acquisitions (M&A) activity rose 25% YtD when measured as announced value, while the completed deal value was up by 4% YtD.

• Average daily equity trading on European main markets and MTFs increased by 10% YtD. Recent trends show a deterioration in market liquidity as measured by turnover ratio (turnover value/market cap), with a decline from c150% in 2018 to 110% in 2024.

• DVC Update: The Double Volume Cap (DVC) mechanism seeks to limit equity trading under the reference price waiver and the negotiated transaction waiver on EU venues. According to ESMA, the number of instruments suspended under the DVC has roughly stabilised since March 2023, with 210 suspended instruments (178 at EU Level and 32 at TV level) as of October 2024.