Bloomberg Tech: VC Trends in H1 2025

VC Trends in H1 2025: IPO activity is experiencing a "reset rather than a rebound," according to PitchBook Senior VC Analyst Emily Zheng. She discusses trends in the venture capital market in the first half of 2025 on "Bloomberg Tech."

In the first half of 2025, the venture capital (VC) market has been characterized by a "reset rather than a rebound," according to PitchBook Senior Venture Capital Analyst Emily Zheng. Speaking on "Bloomberg Tech," Zheng discussed the trends in the VC market, highlighting the resilience of the IPO market despite significant policy uncertainty and market volatility.

The global IPO market demonstrated resilience in H1 2025, with 539 listings raising US$61.4 billion in capital, a 17% increase year-over-year (YOY) [2]. Greater China captured one-third of global IPO proceeds, while the US led with 109 IPOs, marking its strongest first-half performance since 2021. Cross-border listings reached record highs, with 62% of US listings by foreign issuers.

Geographic realignment was a defining characteristic of H1 2025. The US led with 109 IPOs, followed by a significant rebound in Greater China, particularly in Hong Kong, which achieved a sevenfold increase in proceeds YOY. The Middle East and India also sustained elevated fund-raising levels, while major European markets hit a pause [2].

Sector trends were shaped by geopolitical dynamics. Industrial sector IPOs, especially in mobility, benefited from reshoring and supply chain localization. Energy IPOs shifted toward strategic infrastructure, while defense tech gained traction. Life Sciences attracted interest through biotech innovation, and technology remained foundational, with US and Japan leading in software IPOs and Greater China contributing hardware listings. Digital assets and fintech also gained renewed momentum [2].

Despite the resilience, the outlook for H2 2025 remains cautiously optimistic. A global IPO market rebound hinges on more cooperative trade frameworks, accommodative monetary policy, controlled inflation, and geopolitical de-escalation. Companies aligned with national priorities and innovation, presenting a credible equity story with realistic valuations and flexible timing, are likely to succeed [2].

References:
[1] https://www.marketscreener.com/news/vc-trends-in-the-first-half-of-2025-ce7c5cdcda8cff20
[2] https://www.prnewswire.com/news-releases/h1-2025-global-ipo-activity-shows-resilience-amid-market-volatility-says-ey-302507155.html