In the second half of 2021, the number of equity offerings increased significantly – by 75% from the same period in 2020.
This marks an acceleration in growth from the 100% decrease in deals that occurred in H1 2021, relative to the same period a year earlier.
During the second half of 2021, equity offerings accounted for 1.9% of all deals taking place in the sector. This represents an increase from the figure of 1% in second half of 2020.
GlobalData's deals database is a comprehensive repository that looks at mergers, acquisitions, venture financing, equity offerings, asset transactions, partnerships, and debt offerings taking place daily between thousands of companies across the world.
The database details key deal information, such as deal summary, deal rationale, deal financials, parties involved, advisors, and deal payment modes.
By tracking the proportion of various types of deals in each sector we can gauge which sectors are seeing growth and where others are struggling.
The highest value equity offering announced in 2021 (where the deal value was known), is the private placement of shares by Petrofac.
The deal is set to be worth $138m.
The database states that the rationale behind this deal was as follows: "The company intends to use the proceeds from the offering to repay existing indebtedness and to pay $106m penalty imposed in relation to the SFO investigation."