Hong Kong reclaimed the top spot globally for IPO fundraising in the first half of 2025, supported by a surge in mega listings, according to Ernst & Young's report released Thursday.

Proceeds raised in the city reached HK$108.7 billion across 40 IPOs as of June 11, marking a 711% year-on-year jump in funds raised and a 33% increase in the number of deals. The figure already surpasses total IPO proceeds for full-year 2024, EY said.

Hong Kong accounted for 24% of global IPO proceeds in the period, far ahead of other exchanges. The momentum was driven by A+H listings or their spinoffs, which lifted average deal size more than fivefold from a year earlier.

EY's Jacky Lai attributed the boom to multiple driving factors such as policy changes, market dynamics, and more international listings by mainland companies.

Looking forward, large-sized corporations and industry leaders are expected to go public in Hong Kong, with an increasing prevalence of new consumption and hard technology enterprises, EY said.

EY also expects Hong Kong's IPO pipeline to gain further momentum, driven by A-share companies seeking listings in Hong Kong, and a renewed interest in the return of Chinese concept stocks.