Nomura weighs rebuilding Hong Kong equity capital markets business - Reuters

Nomura is considering hiring bankers to rebuild its Hong Kong equity capital markets business, Reuters reported on Wednesday, citing two people familiar with the matter, in a potential reversal of the Japanese bank’s strategy after it scaled back the operation in 2023.

The bank is holding preliminary internal discussions about adding bankers in the city to help companies raise funds through share sales, according to the Reuters report. The discussions remain at an early stage, and Nomura has not finalised the size or timing of any potential hiring plan, the people said.

A Nomura spokesperson told Reuters: "We constantly explore a range of business opportunities in light of client needs and market conditions, but do not comment on specific matters."

Reuters reported in October 2023 that Nomura had cut about 10 investment-banking jobs in Hong Kong, including positions focused on China-related business, amid a slowdown in dealmaking. A renewed presence could help the bank tap into stronger fundraising activity and deepen relationships with mainland Chinese entrepreneurs and wealthy clients.

Hong Kong’s equity fundraising market has rebounded, with companies raising HK$753.8 billion ($96 billion) through share sales, including initial public offerings, in the first 10 months of 2026, up 47.5% from a year earlier, according to Hong Kong Exchanges and Clearing.

Nomura ranked 12th among bookrunners for Asia-Pacific and Japan equity capital markets deals through November 9, with $9 billion in proceeds and a 2.53% market share, compared with 14th place, $4.4 billion and a 1.79% share in the same period last year, according to LSEG data.

Investor sentiment has cooled recently as valuations of AI-related offerings come under greater scrutiny. Two companies, intelligent-robot maker Changzhou Microintelligence and drugmaker Ganzhou Hemay Pharmaceutical, have postponed their Hong Kong IPOs, citing market conditions.

Still, the listing pipeline remains substantial. HKEX had 896 Main Board IPO applications as of October 30, including 599 under processing and 36 approved by its listing committee but awaiting listing.