Russian Army Hasn’t Succeeded In Conquering Ukraine, But It Has Put The IPO Market On Ice

We have tried to drive home the seriousness of what is going on in Ukraine at the moment, where hundreds of thousands are fleeing their Russian-targeted homes as hundreds of thousands of others valiantly defend their country against the overwhelming force of the world’s largest nuclear power. If none of that has convinced you, however, dear reader, we must inform you that shit is getting really real now:

Businesses in Europe withdrew equity-capital-markets deals totaling $634.31 million in February, up from $140.4 million in February 2021, according to Dealogic, a data provider. The lion’s share of those transactions—about $608 million—were pulled last week, during which companies raised only $61.94 million in equity deals. Russia started invading its neighbor last Thursday, Feb. 24.

In the U.S., companies pulled equity-capital-markets transactions valued at $1.17 billion in February, up from the $350 million in deals that were withdrawn a year before, Dealogic said…. “Looking at what’s getting done, my market is relatively closed,” said Josh Weismer, who heads the equity-capital-markets business at Mizuho Americas.

From the relatively closed, we move to the completely closed.

Russian authorities will keep the Moscow stock market largely closed for a fifth straight day, as they continue to shield local shares from potentially severe selling pressure.

“The FTSE Russell index business has removed Russian listings from its indices, the London Stock Exchange has suspended trading in (27) Russian listed securities,” London Stock Exchange CEO David Schwimmer told CNBC on Thursday…. Russia’s London-listed stocks had lost almost all of their value by the time the suspension was announced on Thursday. Sberbank was down 99.72% year-to-date to trade for around a single penny on Wednesday, while Gazprom was down 93.71%, Lukoil 99.2%, Polyus 95.58%, Rosneft 92.52% and EN+ 20.51%.

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