While Europe’s major financial hubs such as London, Frankfurt, and Paris struggle with a prolonged drought in public listings, Stockholm has become the continent’s most vibrant market for initial public offerings (IPOs).
So far in 2025, companies listed on the Stockholm Stock Exchange have raised nearly $2 billion, more than eight times the volume seen in London and significantly ahead of Madrid, Zurich, and Frankfurt, according to CNBC’s calculation of FactSet data.
Upcoming IPOs from home security giant Verisure and Nordic lender NOBA have further underscored Sweden’s role as the IPO leader in Europe. Experts say this success is not a coincidence, but rather the outcome of a decades-long cultural and policy-driven transformation.
Sweden’s IPO boom is largely credited to a deeply ingrained “equity culture,” a diverse pool of domestic capital, and a regulatory framework that actively supports public markets.
“If you were in Stockholm, you could talk to a taxi driver, and he would tell you about his latest investment,” said Jens Plenov, head of equity capital markets (ECM) at DNB Carnegie. “There’s a culture, there’s an ecosystem that you won’t find anywhere else in Europe.”
According to Eurostat, around 70% of Swedish household wealth is held in equities, compared to the EU average of 59%. About seven in ten Swedes hold investment funds directly, while only about 10% of their financial assets are in cash or bank deposits — the lowest level across Europe.
This equity culture did not emerge by chance. It is the product of decades of government-backed initiatives that encouraged household participation in the stock market.
1958: Sweden launched its first mutual funds.
1978: Tax-incentivized savings funds were introduced, sparking mass participation.
1990: The country had 1.7 million savings accounts in a population of just over 8.5 million.
2012: The Investment Savings Account (ISA) further cemented a shift toward equity investing.
By contrast, the U.K.’s regulatory environment has forced many pension funds to de-risk, with some, like ITV’s $2.36 billion fund, holding no stocks at all.
Sweden also benefits from a strong base of domestic investors who are willing to support deals of all sizes.
Private equity firms have adapted as well, learning that a successful IPO requires leaving room for public-market investors to profit.
“Private equity has realized that taking a company public means ensuring there’s upside left on the table,” said Kasper Dichow, head of ECM at Nordea.
For Per Franzen, CEO of EQT, IPOs represent an “attractive exit alternative.” His firm keeps portfolio companies “IPO-ready” to maximize flexibility. Earlier this year, EQT sold 5.3 billion Swiss francs ($6.65 billion) worth of stock in skincare giant Galderma, whose shares have risen over 125% since its March 2024 IPO.
While Sweden has raised nearly $2 billion so far in 2025, this pales in comparison to the record $11.5 billion raised in 2021 during the global IPO frenzy.
Investors remain cautious after losses from the post-2021 downturn. Selectivity is high, with focus on companies with clear track records and profitability prospects.
“At this early stage in the IPO cycle, investors are being very selective and concentrating on sustainable growth opportunities,” said SEB’s Fharm.
Still, optimism is building. “We’re confident about the IPO pipeline over the next 12 months,” said Nordea’s Dichow. “2026 is expected to be a major IPO year — not only in Sweden, but across the Nordics, with several large-cap listings.”
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