IPOs enjoy best January in five years

WASHINGTON — The first month of 2005 has shaped up to be the best January in five years for initial public offerings.

Ten IPOs came to market during January, raising proceeds of $2.12 billion, according to data from Thomson Financial. That’s up from six offerings in the first four weeks of 2004, and is the highest level since January 2000, when 18 new issues debuted.

Of course, the last five years haven’t been too hard to beat. Not a single IPO came to market in the first month of 2003, while 2002 and 2001 saw three and eight, respectively, according to Thomson. That compares with a string of Januarys from 1992 to 2000 in which anywhere from 18 to 46 new issues hit the market, levels that last month didn’t come close to touching.

Still, market observers say the increase in issuance is a sign that the IPO market is continuing to recover since the Internet bubble burst in 2000. January is traditionally a month that is light on IPOs because the first two weeks tend to be a dormant period, but it is also closely watched because it follows a nearly monthlong hiatus beginning in mid-December.

A total of 15 initial public offerings are expected this week.