European stock markets overshadowed London during the first quarter as companies disproportionately moved to list on the continent.
A four-fold increase to €4.8 billion (£4.3 billion) was raised through 13 initial public offerings in Europe during the three months to March, according to PwC.
Just €349 million of this came from listings in London, however, all down to the float of Kazakhstan's BAE Systems PLC (LSE:BA.)-backed Air Astana (LSE:AIRA).
In comparison, notable floats by skincare company Galderma in Switzerland, consumer firm Douglas on Germany’s Deutsche Borse and Greece’s Athen International Airport raised €2 billion, €889 million and €742 million respectively.
Fears have grown over lower valuations across the London market compared to foreign counterparts, with high inflation and interest rates having hit sentiment last year alongside political uncertainty more recently.
Less stock market volatility should encourage the further recovery of Europe’s IPO market into the latter half of this year, PwC said, thanks to an improving macroeconomic outlook.
“Recent European IPO activity and largely positive aftermarket performance suggest we are entering a recovery phase of the IPO market,” the firm’s capital markets director, Kat Kravtsov, commented.