Nomura considers rebuilding Hong Kong equity capital markets team
Japan's biggest investment bank is in early talks about hiring bankers for its Hong Kong equity capital markets business, aiming to capitalise on a recovering fundraising market. The move would reverse a three-year scaling down of its operations in the city.
Nomura is considering hiring bankers for its Hong Kong equity capital markets business, two people with knowledge of the matter said, in a potential reversal of strategy for the Japanese bank, which had scaled down the operation over the past three years.
Japan's biggest investment bank is holding early discussions internally about hiring bankers in the city for the business that helps companies sell shares, the people said, as it aims to tap into a booming equity fundraising market in the Asian financial hub. Nomura had cut headcount and retreated partially from the business in Hong Kong in 2023 when market conditions were different and equity capital markets (ECM) deals in the city and China had dried up. ECM bankers help companies raise money through initial public offerings, secondary share sales, and convertible bonds.
The discussions are preliminary, and the Japanese bank has not yet finalised the size and timing of any hiring plan, the people, who requested anonymity, said. The plan has not been reported previously. The revival of the business in Hong Kong could help the Japanese bank deepen ties with wealthy individuals and founders of privately held companies as capital from mainland China increasingly flows into the city, the person added.
"We constantly explore a range of business opportunities in light of client needs and market conditions, but do not comment on specific matters," a Nomura spokesperson said in response to a query from Reuters.
Hong Kong's equity capital markets began recovering in early 2025 and rebounded sharply over the year, although sentiment has cooled recently as investors reassess valuations of AI-related offerings. Companies raised HK$753.8 billion through share sales including IPOs in the first 10 months of 2026, up 47.5 per cent from a year earlier, according to the Hong Kong Exchanges and Clearing website.
However, the broader market has turned more cautious lately. Chinese intelligent-robot maker Changzhou Microintelligence and drugmaker Ganzhou Hemay Pharmaceutical recently postponed their Hong Kong IPOs, citing market conditions. Still, Hong Kong's equity fundraising market remained active, with seven companies, including four in the AI and chip sectors, debuting this week.
A Nomura expansion would come in a competitive market. Morgan Stanley, Goldman Sachs, JPMorgan and UBS are active there, along with Chinese firms including China International Capital Corp and CITIC Securities. Nomura ranked 12th among bookrunners for Asia Pacific and Japan ECM deals year-to-date through 9 November, with US$9 billion of proceeds and a 2.53 per cent market share, according to LSEG data. This compares with 14th place, US$4.4 billion and a 1.79 per cent share in the same period of 2025.