Hong Kong's equity dealmakers effectively worked through the summer as an artificial intelligence-led funding rush pushed share sales to a record for the July–September period, according to data compiled by Bloomberg.
Proceeds from initial public offerings, placements and block trades reached $47.5 billion in the third quarter, the largest amount ever raised in that window. The surge lifted year-to-date fundraising to more than $92 billion, putting the market within striking distance of the $112.5 billion annual record set in 2021. Still, a recent rise in bond yields and lackluster post-deal performance have made both investors and issuers more cautious.
AI has been central to Hong Kong's deal rebound, and the intensity sharpened over the summer as mainland Chinese companies returned to markets faster and in larger size to finance expansion in the rapidly growing sector. Alibaba Group Holding Ltd led the quarter's biggest transaction with a $10.2 billion follow-on offering, while Zhongji Innolight Co raised nearly $8 billion in Hong Kong's largest listing in almost seven years. Fundraising also became more frequent: AI model developer Z.AI Co has raised $9.6 billion this year through a mix of an IPO, placements and convertible bonds.
Bankers say the cadence of capital-raising has changed. Instead of waiting a year or two between transactions, companies are returning soon after lockups expire—sometimes within months—reflecting sustained demand for AI-related growth capital. Besides Z.AI, peers such as MiniMax Group Inc and chipmakers Shanghai Iluvatar CoreX Semiconductor Co and Shanghai Biren Technology Co also tapped investors again during July.
The momentum extended beyond Hong Kong. Across Asia-Pacific, share sales exceeded $120 billion in the third quarter, the strongest third-quarter total in six years. The Chinese mainland contributed some of the region's largest transactions, including memory chipmaker CXMT Corp's 66.6 billion yuan (about $9.9 billion) IPO, the country's second-largest on record.
India also returned to form after a difficult start to the year marked by geopolitical tensions, market weakness and persistent foreign outflows. Since July, Indian share sales raised a record $26 billion, helped by robust domestic liquidity. Notable transactions included a $3.2 billion government selldown in Life Insurance Corp and the long-awaited $2.4 billion IPO of the National Stock Exchange of India Ltd.
Even so, market conditions remain fragile heading into year-end. The MSCI Asia-Pacific Index slid as much as 7% in July, with investors questioning whether heavy AI spending will translate into future returns. Bankers expect buyers to become more selective, even as the pipeline stays packed. Upcoming deals cited in the report include a potential November listing for Jio Platforms Ltd in India, the Philippines' mobile payments leader Mynt Inc (GCash) in what could be the country's largest-ever IPO, and Australia's expected $5 billion listing of data center operator Firmus Grid Ltd.
For now, the message from dealmakers is clear: investor scrutiny is rising, but supply is not slowing—leaving the market to decide which AI-driven stories are strong enough to win capital.
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