Market report - May 2007

London Stock Exchange Group PLC
08 June 2007



News Release


8 June 2007

MR71-05.07


                    COMPANIES RAISE £5.7 BILLION DURING MAY

            • Strongest month for money raising since July 2006


May was the strongest month for money raising through IPOs on the London Stock
Exchange since July last year.  23 new companies, from fourteen different
sectors, conducted IPOs on the Exchange's markets during the month, raising £5.7
billion between them.  This total included: three international IPOs on the Main
Market, which raised £4.3 billion between them; seven UK IPOs on the Main
Market, raising £720.5 million between them; and 13 AIM IPOs raising £685.9
million.

Notable IPOs during May included: Pharmstandard, the Russian pharmaceutical
company which issued GDRs on the international Main Market; Russian bank VTB
Bank; the Local Shopping REIT, which was the first new UK specialist start-up
Real Estate Investment Trust to be admitted to trading since the introduction of
the UK REIT tax regime this year; and the paper company Powerflute, which became
the first Finnish company to join AIM.

Since 1 January 2007 there have been 101 IPOs on the Exchange's markets, raising
£12.8 billion, an increase of 31 per cent on the £9.8 billion raised through
IPOs over the same period last year.

It was also a strong month on the secondary markets.  The total number of SETS
trades during May was 10.5 million, up 33 per cent on May last year, itself an
extremely strong month.  The total value traded on SETS during the month was up
12 per cent on last year to £177.5 billion.  The average daily number of trades
was 499,358 and the average daily value traded on SETS was £8.5 billion.

The growth in SETS trading continues to reflect in part very strong growth on
the SETSmm segment.  There were 2.6 million SETSmm trades during the month, up
53 per cent on May last year and now accounting for a quarter of all SETS
trades.  The total value traded on SETSmm grew 28 per cent to £18.2 billion.
Trading on the IOB was also strong, with a record 96,627 trades during the
month, an increase of 24 per cent on May last year, while the value traded
during the month was £7.5 billion.

There were 11.6 million UK equity trades during the month, up 29 per cent on May
last year. The total value of UK shares traded increased 18 per cent on last
year to £373.9 billion, and the average daily value traded in UK equities was a
record at £17.8 billion.

Three new ETFs were admitted to trading on the Exchange during the month.  In
total, there were 39,429 ETF trades, an increase of 23 per cent on the total for
May last year.  The total value traded in ETFs increased 43 per cent on May last
year to £2.8 billion.

RNS, the Exchange's service for the dissemination of company news, issued 16,905
announcements during May, up 8 per cent on May last year.  Of these, 39 per
cent, or 6,666 were news and results announcements, representing an 86 per cent
share of all such announcements made in the UK market.

There were 21 trading days during May, the same number as in 2006.


                                    - ends -


For further information, please contact:

Catherine Mattison                            Press Office   [phone]

[e-mail]




Notes to editors:

•      About the London Stock Exchange

The London Stock Exchange is the world's premier international equity exchange
and a leading provider of services that facilitate the raising of capital and
the trading of shares.

The London Stock Exchange is the most international equities exchange in the
world and Europe's largest pool of liquidity.  By the end of 2006, the market
capitalisation of UK and international companies on the London Stock Exchange's
markets amounted to £4.4 trillion, with £6.7 trillion of equity business
transacted over the year.

The London Stock Exchange is a Recognised Investment Exchange (RIE) under the
Financial Services and Markets Act 2000 and is supervised by the Financial
Services Authority.

Companies considering flotation have a choice of markets:


AIM

AIM is the London Stock Exchange's international market specifically designed
for smaller, growing companies, combining the benefits of a public flotation
with appropriate levels of regulation.


Main Market

The London Stock Exchange's Main Market for established companies seeking
international recognition is one of the world's best known, longest-established
and most liquid markets.  It is home to some of the world's largest and most
successful companies, giving them access to one of the deepest pools of capital
in the world.


Professional Securities Market

The Professional Securities Market was established in July 2005, to coincide
with the introduction of the FSA's new Listing Rules.  PSM provides a solution
for those issuers seeking to list securities in London without having to
re-state their financial information to IFRS or follow the additional
requirements of an offering to retail investors.  Debt securities or depository
receipts of any denomination may be listed on PSM on production of a prospectus
aimed at a wholesale or professional audience.


•   IPO

An IPO or Initial Public Offering is when a new company joins one of our markets
and raises capital by issuing shares.  This excludes transfers and introductions
(when companies join the market without raising money).

•   Indices

Indices are calculated and managed by FTSE Group, a world-leader in the creation
and management of global equity indices. The FTSE Group is jointly owned by the
London Stock Exchange and the Financial Times, but operates as an autonomous
company.



For information about the company or any FTSE indices, please contact
[e-mail]



•   SETS - the electronic order book



It is over eight years since the launch of SETS and the order book continues to
go from strength to strength, compressing spreads and significantly improving
liquidity. SETS has recently delivered record increases in the number of orders
entered and executed as new technology improves efficiency and fuels growth.



•   SETSmm



SETSmm is the Exchange's trading service for FTSE 250 and other leading non
order book securities.  By combining the best features of the existing SETS and
SEAQ trading services, SETSmm appeals to market users who want to trade
electronically, as well as those customers who use the market making system.



•   International Order Book (IOB)



The IOB is the Exchange's order book for the trading of international Depositary
Receipts, negotiable certificates which represent ownership of a given number of
a company's shares and can be listed and traded independently from the
underlying shares.



•   Retail Trading Figures

    Retail trading figures are available from our website at -

    www.londonstockexchange.com/en-gb/products/membershiptrading/retailtradestat

    Figures are available from November 2002 to date.





MAY 2007

                                                2007                             2006

DOMESTIC EQUITY TRADING                        Month    Year to date            Month    Year to date

Equity Trading Value (£m)                    373,919       1,704,768          316,791       1,418,773
Number of Equity Trades                   11,563,229      52,872,731        8,982,978      36,017,785


INTERNATIONAL EQUITY TRADING

Equity Trading Value (£m)                    457,268       2,089,154          290,620       1,462,761
Number of Equity Trades                    3,295,123      15,106,126        1,518,292       8,577,687


ORDER BOOK TRADING

Order Book Value (£m)                        177,544         819,760          158,831         641,986
Order Book Trades                         10,486,526      47,534,083        7,882,434      30,398,986



                                                                    May 2007                      May 2006

DOMESTIC MARKET CAPITALISATION (£bn)                                   2,146                         1,862



TOTAL NUMBER OF COMPANIES                                              3,249                         3,189
Main Market UK                                                         1,264                         1,326
Main Market International                                                320                           325
of which techMARK                                                        128                           144
AIM                                                                    1,639                         1,528
Professional Securities Market (Equity only)                              26                            10





                                                        2007                            2006

MONEY RAISED (£m)                                      Month   Year to date            Month   Year to date


Equity Money Raised:

  New issues: Main Market UK                             720          3,474            1,089          2,407
  New issues: Main Market International                4,267          7,164              129          2,681             
  New issues:  AIM                                       745          2,343            1,264         4,410              
  Further issues: Main Market UK                       1,609          4,268            1,572         3,294              
  Further issues: Main Market International               31            510               45           662
  Further issues: AIM                                  1,205          4,320              891         2,882
  PSM (new & further, UK & International)                -              -                  -           527              
                    

COMPANIES ADMITTED                                        39            146               48           244

Debt Money Raised (£m)

  Main Market UK                                      18,309         65,711            9,062        55,202
  Main Market International                           33,617        126,799           16,923        84,611              
  PSM (PSM (UK & International)                        2,785          8,894              343         7,293




                      This information is provided by RNS
            The company news service from the London Stock Exchange