BNP subsidiary First Hawaiian (NASDAQ:FHB) is set to raise $464 million in the largest bank IPO since RBS spin-off Citizens Financial (NYSE:CFG) in September 2014. With over $19 billion in assets, it is Hawaii's largest financial institution.
In the face of record low interest rates, Brexit uncertainty and regulatory hurdles, Financials is the worst performing S&P sector this year (-1%), despite recovering from post-Brexit lows. The three banking IPOs year to date, US-based Paragon Commercial (OTCQX:PBNC) and Midland State (MSBI) and Argentina's Grupo Supervielle (Pending:SUPV) have returned an average of 10% from their IPO price. This continues the trend of bank IPO outperformance, with 2014 deals up and average of 34% and 2015 bank debuts up 23%.
|Banking IPO Statistics|
|Year||# of banking IPOs||Avg. deal size (mm)||% above issue||Avg. total return|