Coupa research shows IPOs and MA activity are now priorities for UK businesses, along with AI investment and post-layoff financial recovery
The UK IPO slump is coming to an end, as IPOs and MA activity are back on the menu for UK businesses, according to new research from Coupa, the leading AI-driven platform that helps you operate smarter and grow faster.
Coupa’s research found that IPOs and M&As (34%) are the top priority for UK finance leaders in 2024, ahead of investing in AI (33%) and becoming more purpose-driven and sustainable (31%).
This could mark a significant turnaround from a major pull-back in 2023, where IPOs slumped by 49% year-on-year and saw no listings in the final three months of the year.
Other positive indicators suggest the time is right for UK IPOs, with businesses prioritising growth, productivity, and profitability.
The research identified AI as a major driver of this, with 42% of UK businesses planning to drive growth by investing in AI technologies this year. In addition, UK finance leaders are already using AI to cut costs and increase productivity in a number of key areas, including strategic sourcing (28%), AP automation (27%), procurement (27%) and supply chain design & planning (22%).
UK businesses are also responding to a challenging environment by demonstrating their ability to grow while operating with leaner budgets. Coupa’s research found that 38% of finance leaders say they will reduce overall budgets within the next 6-12 months to maintain profitability.
However, Coupa’s research shows that while growth and liquidity events are priorities for an encouraging number of businesses, many are still not out of the woods. It found that 50% of finance leaders are worried about hitting revenue forecasts in the next 6-12 months, and 59% are concerned about hitting end of year financial goals.
“Many UK organisations have IPO and other liquidity events firmly in their growth plans. AI, coupled with effective financial management, is a key factor, while plans to ease UK listing rules in late 2024 is further helping” said Paul Maguire, Managing Director, EMEA & APAC at Coupa
. However, for every organisation planning to meaningfully grow, another is simply looking to survive. What unites them is how to realise their goals by adopting technology that provides insights and a platform to deliver growth or steady the ship.”
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