The deep freeze in the US listing market has sent a shiver through Wall Street. Prior to this week, companies had raised just $2.4bn through traditional IPOs this year, according to Dealogic. That is the lowest amount in 14 years.
For fee-starved bankers, one spot of warmth persists: corporate carve-outs. In a carve-out, the subsidiary is separated using a standard IPO sale, rather than first distributed to shareholders via a dividend. Three of the biggest IPO deals last year were carve-outs.
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