<article>Global markets are likely to see more initial public offering (IPO) activity from the Asia-Pacific region as companies seek access to funds in the foreign markets.</article>

Global markets are likely to see more initial public offering (IPO) activity from the Asia-Pacific region as companies seek access to funds in the foreign markets.
BNY Mellon head of depositary receipts business in Asia-Pacific,Neil Atkinson said that after China-based e-commerce giant Alibaba’s historic American depositary receipt (ADR) listing, global markets can expect more activities from this side of the world.
Atkinson was quoted in a statement about Malaysia-based online payment solutions provider MOL Global Inc’s appointment of BNY Mellon as its depositary bank for its ADR programme.
It was the first exchange-listed ADR programme from Malaysia for BNY Mellon, a global investment management and investment services provider.
MOL Global is a leader in e-commerce in the Southeast Asia region, and the largest alternative e-payment facilitator for online digital goods and services by payment volume. The company was listed on Nasdaq on October 10 this year, raising $169 million.
“This offering from MOL Global continues the trend of international technology firms using ADRs to list in the US and demonstrates to other ASEAN companies that an ADR listing on a US exchange can create fresh opportunities,” Atkinson said.
MOL Global group chief executive officer Ganesh Kumar Bangah said the group’s ADR listing on Nasdaq was a critical part of the strategy to expand its business globally. “BNY Mellon’s platform will support our efforts to build a strong and visible ADR program and to access global investors,” he added.
This year, companies have already raised more than $36 billion via 53 transactions using ADRs in US markets. This is much higher than the $10.4 billion raised through US ADRs in 51 transactions during 2013.
The US$25 billion IPO of China&#8217; e-commerce giant Alibaba, was the world’s largest float, listing in the New York Stock Exchange in September 2014. This listing has been a sign of things to come, as Asian IPO activity has gone up since.
The global IPO activity, too, is at a four year high, says a EY report, adding that the strong first day performance by Alibaba &#8221; will continue to buoy investor confidence in IPOs and encourage more companies to consider cross- border listings. The global IPO volume went up by 39% in the third quarter of 2014 making it the best year for IPO activity since 2010, the report added.
New York-based BNY Mellon acts as depositary for more than 2,800 American and global depositary receipt programs, acting in partnering with several companies from over 65 countries.

More Asia Pacific Cos plan foreign listings

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