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Billion-dollar initial public offerings (IPOs) are always eyebrow-raising events, and many have already made headlines in 2020.

Following the recent trend of tech IPOs outnumbering and out-hyping the competition, software has led the way. Cloud storage company Snowflake raised $3.4 billion in the largest ever software IPO, while gaming software developer Unity completed an IPO above its target price for a total of $1.3 billion and big data firm Palantir opted for a direct listing for a valuation of $22 billion.

More big names are still on the horizon. DoorDash just completed an above-range IPO and ended up raising $3.37 billion, and Airbnb raised $3.5 billion before shares opened more than 100% above the IPO price. It’s a big recovery for an IPO market that in 2019 saw major IPOs from Uber and Lyft underperform estimates.

But it was the last-minute cancellation of Ant Group’s IPO in November that would have been the largest public offering ever. At $34.5 billion, it would have eclipsed the massive $25.9 billion raised by energy giant Saudi Aramco in 2019.

How would this have stacked up against the world’s largest IPOs in history? We took the 25 largest global IPOs by nominal offering size as tracked by research firm Renaissance Capital, and adjusted them for inflation to October 2020 dollars.

NTT Docomo Tops the (Adjusted) Chart

Unicorn IPOs might be the current flavor in 2020, but they pale in comparison to communication and resource giants.

When adjusted for inflation, the largest ever IPO was Japan’s major mobile phone carrier NTT Docomo. The company went public as NTT Mobile Communications Network for a then-record $18 billion in 1998, which is $28.7 billion when adjusted for inflation to 2020.

Company IPO Date Industry Deal Size ($B) Inflation Adjusted ($B)
NTT Mobile Oct 1998 Communication Services 18.1 28.7
Saudi Aramco Dec 2019 Energy 25.6 25.9
ENEL SpA Nov 1999 Utilities 16.5 25.5
Alibaba (U.S.) Sep 2014 Technology 21.8 23.9
SoftBank Corp Dec 2018 Communication Services 21.3 22.1
Visa Mar 2008 Technology 17.9 21.8
Deutsche Telekom Nov 1996 Communication Services 13 21.3
AIA Group Oct 2010 Financials 17.8 21.2
General Motors Nov 2010 Consumer Discretionary 15.8 18.8
Facebook May 2012 Technology 16 18.1
ICBC Oct 2006 Financials 14 18.1
Japan Tobacco Inc. Oct 1994 Consumer Staples 9.6 16.7
AT&T Wireless Group Apr 2000 Communication Services 10.6 16.1
Rosneft Oil Company Jul 2006 Energy 10.4 13.3
Dai-ichi Life Mar 2010 Financials 11 13.2
Kraft Foods Jun 2001 Consumer Staples 8.7 12.7
Agricultural Bank (H.K.) Jul 2010 Financials 10.4 12.4
Bank of China May 2006 Financials 9.2 11.8
France Telecom Oct 1997 Communication Services 7.3 11.7
Glencore May 2011 Materials 10 11.5
Alibaba (H.K.) Nov 2019 Technology 11.2 11.3
Electricite De France Nov 2005 Utilities 8.3 11
Agricultural Bank (China) Jul 2010 Financials 8.9 10.6
Hengshi Mining Nov 2013 Materials 9.3 10.4
Japan Airlines Sep 2012 Industrials 8.5 9.5

Despite the recent flurry of IPO activity, only two of the largest 10 inflation-adjusted IPOs occurred in the last two years, with second place Saudi Aramco and Japan’s communications and tech conglomerate SoftBank.

Including NTT Docomo, three of the top 10 occurred in the 1990’s. Italy’s energy giant ENEL SpA raised the equivalent of $25.9 billion in 1999, and German communications company Deutsche Telekom raised the equivalent of $21.3 billion in 1996.

Communications services accounted for five of the top 25 IPOs, and four of the top 10. Only the financials were more prominent with six of the top 25.

Final IPO Numbers can Outperform (and Underperform)

One important consideration to make is that the final amount raised by an IPO can vary from the original deal size.

Though they are underwritten by a large financial institution for a set amount at a specific price range, companies often grant underwriters the “greenshoe option” to sell more shares than the original issue amount, usually up to 15% more.

This over-allotment option lets an underwriter capitalize on a strong market by offering more shares at a surging share price (which they cover at the original price). In the opposite case of falling share prices, the underwriter can buy back shares at market rate to stabilize the price and cover their short position.

Many of the largest ever IPOs have managed to capitalize on their much-hyped debuts. Saudi Aramco ended up raising $29.4 billion, almost $4 billion more than its original offering. In similar fashion, Chinese e-commerce giant Alibaba raised $25 billion on an offering of $21.8 billion, and Visa raised $19.7 billion on an offering of $17.9 billion.

Additionally, large corporations can take advantage of market sentiment by going public in multiple equity markets. Alibaba’s $25 billion debut on the New York Stock Exchange in 2014 was followed by a secondary offering on the Hong Kong Stock Exchange in 2019 for $11.2 billion. Likewise, the Agricultural Bank of China listed on both the Hong Kong and Shanghai Stock Exchanges in 2010 for a combined $22.1 billion haul.

More IPOS on the Docket for 2021

With excitement around IPOs bubbling once again, more companies are lining up to become the next big breakthrough on public markets.

2021’s list of IPO candidates include shopping app Wish (which has already filed for an offering), gaming companies Epic Games and Roblox, payment processing firm Stripe and even dating app Bumble.

And Ant Group’s massive potential IPO shadow looms over all, though regulatory overhauls in China might push it back to 2022 and lower the size of the offering.

For now, the list of the world’s largest IPOs looks to be relatively stable. But with social media giant Facebook cracking the Top 10 list in 2012, and SoftBank’s massive IPO in 2018, the next +$10 billion dollar IPO is always around the corner.