The number of publicly listed companies has declined in several major markets in recent years, prompting concerns about the long-term resilience of public equity markets and renewed debate over what drives firms to exit - as opposed to enter - public listing.
This paper examines global delistings and net listing dynamics across stock exchanges worldwide. Using data on 60 exchanges from 2010–2024, we document that delisting activity is strongly time-varying and heavily concentrated in advanced economies, with M&A-related exits accounting for the majority of delistings throughout the sample.
Firm-level evidence further shows that M&A delistings involve relatively larger and financially healthier firms, whereas involuntary delistings are concentrated among smaller and financially distressed firms. Exchange-level trading conditions appear to matter more consistently than broad macroeconomic fundamentals. Their role, however, varies by exit channel: overall and involuntary delistings are more prevalent when secondary-market liquidity is lower, whereas M&A delistings are more closely linked to stronger market returns and lower volatility.
We also find important differences across economy groups: advanced economies (AEs) are more heavily dominated by M&A exits and display stronger links between delisting outcomes and market conditions than emerging markets and developing economies (EMDEs).
Finally, net listing dynamics are driven primarily by entry conditions rather than exit conditions, with stronger market returns and GDP growth associated with higher net listing rates. This suggests that policies aimed at strengthening public equity markets should not focus exclusively on reducing delistings, but also on improving the conditions that support new listings.