JAPAN'S IPO MARKET HITS 15-YEAR LOW

Tokyo's equity rally has failed to stimulate IPO activity, revealing structural gaps in Japan's startup ecosystem. The shortage of listings stems partly from a deficit of companies in high-growth sectors—artificial intelligence, data centers, and semiconductor manufacturing—areas driving IPO volumes globally. The 18 offerings represent a marked decline from historical averages, signaling challenges for Japan's venture capital and startup landscape. While stock markets have surged, reflecting investor optimism, the lack of homegrown tech startups has limited opportunities for public listings. The data underscores Japan's ongoing struggle to compete in emerging technology sectors where startups typically pursue aggressive growth trajectories and IPO exits. The gap between market performance and listing activity suggests structural factors beyond investor sentiment are constraining the IPO pipeline, with implications for Japan's long-term competitiveness in innovation-driven industries.