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Year-End 2014 Report
| Regional Trends
EMEA
Capital Raisings
Sixteen issuers raised approximately $3.0 billion of DR capital
in EMEA of which $1.9 billion (62%) was through IPOs. Seven
issuers from 7 different countries completed their initial
public offerings on the NYSE, NASDAQ and LSE. The largest
IPO out of the region was for Russian retailer Lenta Ltd, which
raised $974 million on the London Stock Exchange.
Approximately $1.1 billion was raised by 9 issuers in follow-
on offerings, accounting for 38% of the total capital raising
activity in the region. The largest follow-on offering was for
QIWI Plc, a Russian payment services company, which raised
$319 million in additional capital on the NASDAQ.
Trading Volumes
DR trading volumes declined by 8% (or 5.5 billion DRs) with
63.8 billion DRs traded in 2014 versus 69.3 billion DRs traded
in the prior year. Exchange-listed programs experienced
the largest declines in trading volumes as NYSE-listed ADR
volumes declined 19%. In terms of country, DR programs from
Finland and France accounted for the largest drop in volumes,
declining 53% (or 5.2 billion DRs) and 30% (or 1.7 billion DRs)
respectively year over year.
New Programs
1, 2
There were 45 new sponsored programs announced in
the EMEA region: 8 U.S.-listed ADRs (4 listed on the NYSE
and 4 on NASDAQ), 21 Level 1 ADRs and 16 GDRs (including
bifurcated programs). The UK was the most active country
in the region with 6 new programs (1 NYSE listed ADR and 5
Level 1 ADRs), followed by Nigeria with 6 new GDR programs.
Unsponsored Programs
Total trading volumes for EMEA unsponsored programs were
up 54% to 1.3 billion DRs versus 850 million DRs traded in
2013. France was the most active country accounting for 26%
of all EMEA unsponsored trading volumes, followed by the
UK and Switzerland which each accounted for 14% of trading
volumes. In terms of programs, the UK accounted for 24%
of the total program count in the region with 187 programs.
Portugal, Ireland and Greece all experienced significant spikes
in trading volumes versus 2013 as demand for shares from
these markets expanded; Eurobank Ergasias in Greece alone
saw its trading volume increase by over 120 million shares.
Italy, Sweden and South Africa were the only EMEA markets
where unsponsored trading volumes contracted in 2014.
Market Performance
Citi Depositary Receipt Services maintains the EuroPac
Liquid DR Index (CLDREPAC) and EMEA Liquid DR Index
(CLDREMEA) to gauge investor sentiment toward EMEA.
In 2014, CLDREPAC depreciated by 10% and CLDREMEA
depreciated by 34%. Since 2001, CLDREMEA has
outperformed the S&P 500, while the CLDREPAC index has
underperformed the S&P 500.
1
For bifurcated programs, Reg S and 144A tranches have been counted as separate programs.
2
Program count as of December 2014.