Companies That Failed in the Stock Exchange After the IPO Fury

The development of a country’s capital market country’s economic system is important for. In countries with developed and developing capital markets, companies contribute to the growth of the economy by finding resources more easily. They contribute.

Additionally development of capital markets It also positively affects the number of investors who have confidence in the market. Thus, savings are expected to increase in the long run.

Because capital markets contribute so much in the long term, Public Offering MobilizationA study has been initiated under the name i. This mobilization; between Istanbul Chamber of Industry, Borsa Istanbul, TOBB (Union of Chambers and Commodity Exchanges of Turkey) and CMB (Capital Markets Board). On 07.08.2008 It started with the signed protocol.

What was the aim of the Public Offering Mobilization?

The main purpose of this mobilization was to increase the number of Turkish companies traded on the stock exchange. With this protocol made in 2008, in 2023 The number of publicly traded companies increased to 1000the number of investors in the stock market is to 8 million people was intended to be achieved.

With this protocol, there has been a significant increase in the number of companies offered to the public since 2010. While the number of publicly traded companies was officially 482 at the end of 2022, as of November 18, 2023, which is the date when this content was being prepared, 529 appears as.

Nowadays, interest in the stock market has increased considerably with the influence of public offerings; So much so that, according to the data announced last week, the week in which TAB Gıda was offered 8.3 million investors According to current data, this number is 8 million 156 thousand We see it coming down.

The reason for this decrease can be interpreted as the index falling slightly and new public offerings breaking the ceiling early. Because what the unconscious new investor dreams of is always These were public offerings that went through the roof.

So much so that many of the investors exceeding a million in the last month with hearsay information Since it entered our stock market, when public offerings broke the ceiling, they immediately took a selling position in a panic. More interestingly, since there were too many people doing this, this order was not executed and the stock was most likely going down.

When we look at the number of publicly traded companies in selected countries in the world, a picture like this emerges. (2022)

USA	Türkiye	India	Israel	France	England	Spain	Germany	Sweden
4800	482	5085	613	1160	2914	3288	758	787

This table data from last year shows the number of companies traded on stock exchanges by country. Recently, especially in Turkey Lots of companies going public every month Even though we think it is, our stock market is inferior in terms of the number of “public” companies compared to other countries. far behind we can say.

Let’s also look at the comparison of the total number of companies offered to the public every year in Turkey between 2004 and 2023.

2004	2005	2006	2007	2008	2009	2010	2011	2012	2013
12	9	15	9	2	2	22	27	47	20

Public offering efforts have started at full speed since 2009, to 2010 By this time, dozens of companies had gone public.

2014	2015	2016	2017	2018	2019	2020	2021	2022	2023
14	6	2	3	11th	6	8	52	40	47(+)

Public offerings at the beginning of the pandemic period to a halt had arrived. During this period, many companies postponed their public offering plans, and with the normalization period, many of them went public in 2021 and 2022.

Also, although there is more than 1 month left until the end of this year, Already 47 companies Let us state that it is a public offering. This number will increase slightly.

There was a public offering craze in 2010-2014, just like today.

Year	Ring opened Company	Bankrupt Company Number	inflation Under Yield Providing	of the index Under Yield Providing
2010	26	3	14	14
2011	24	4	10	10
2012	32	5	8	12
2013	20	4	2	3
2014	13	one	2	2
TOTAL	115	17	36	41

In these times when interest in public offerings is at its peak, experts continue to warn. Rahim Ak from HabertürkPointing out that a similar storm of public offerings occurred between 2010 and 2014, he said that the results were not good for investors.

The reason for saying this is that the companies that went public during the public offering frenzy between 2010 and 2014. 17 of 117 companies went bankrupt and many of the remaining under inflation It was the fact that it brought returns.

Some of the companies that were offered in these years and became history by victimizing their investors were as follows:

• Ericom Telecommunications
• Atac Construction
• Mango Food Industry
• Harmony Food
• Latek Logistics
• Aksel Investment Holding
• Atlantic Petroleum Products
• Arbul Integrated Textile
• Plaspak Chemistry
• Ministers Media
• Bimeks

In the first part of our content series, we discussed the collapse story of Bimeks in detail.

In the second part, we told the story of Raks.

Well, weren’t there companies that offered and brought good profits in these years? Of course there was.

Especially those that were offered to the public in 2013 Teknosa, Tümosan, Jantsa, Orge Elektrik, Koza Altın, Aksa, Gözde Girişim The earnings of companies such as these exceeded 1000 percent, providing returns to their investors many times higher than inflation. highest return Politeknik Metal, which was offered to the public in 2014, provided 28 thousand percent.

If you are interested in public offerings, our other content we recommend you read: