The number of Global Initial Public Offerings (IPOs) dropped by 22% in the third quarter compared with the second quarter of 2007, according to the quarterly Global IPO Report from Ernst & Young.

Globally, US$57 billion was raised in 428 IPOs in the third quarter, and the amount of capital raised decreased by 36% compared with the previous quarter.

IPO activity was driven by the emerging markets; Brazil, Russia, India and China, which together raised US$27 billion in a record 118 IPOs and accounted for seven of the 10 largest IPOs in the third quarter, according to the report.

Overall, China, Brazil and the US led activity by capital raised, and made up 56% of the global total.

China also led number of IPOs with 77, surpassing last quarter’s leader Australia (50) and the US (36).

Data from E&Y

Douglas A. McIntyre