Capital Markets Board (CMB) Chairman İbrahim Ömer Gönül made a statement about the highly popular public offerings.
The fact that the old economic management kept deposit interest rates low despite high inflation caused different tendencies. One of these places is the stock market.
The rush to the stock market by those who wanted to protect their assets against inflation caused the stock market to rise, and after the election ‘the market loves’ With the appointment of Mehmet Şimşek and Hafize Gaye Erkan as head of the economic management, the index broke records almost every day.
Meanwhile, the public offering of many companies increased the attractiveness of the stock market.
CMB President Gönül spoke to Bloomberg about public offerings.
Stating that there may be a decrease in interest in public offerings in case of an exit from the stock market, Gönül continued as follows:
*If there is an exit from the stock market along with increasing deposit interest rates, there may be a slowdown in the interest in public offerings. We do not have such an expectation, but we have to be ready for anything while regulating the market.
*Companies are in a hurry to make these public offering requests as soon as possible. But when we make a public offering, we do not only look at the completion of the file. We also look at factors such as whether the company can meet the required conditions and whether the market can meet this demand. Sometimes it is necessary to slow down IPOs. Let’s say if you do an average of 50 IPOs now, you need to project how many you can make next year.
*(There are already applications, wouldn’t you say we should make 80-90 applications instead of 50) We can’t do it, it would be too much. In other words, we look at the situation and conjuncture of the market in public offering. We don’t want a failed IPO either. Sometimes it may not be a good idea to go public too quickly. Therefore, it looks like we will continue with the current numbers. In other words, just because there are 100 applications, 100 public offerings will not be approved next year. “This year we will finish around 50, next year we will look at the demand and evaluate it accordingly.”