(Bloomberg) -- The first batch of European listings this year got off to a flying start, eliciting expectations of a wider rebound in activity for a market that has been struggling to overcome a near two-year slump. 

Shares of Athens International Airport SA jumped 15% at the start of trading in the Greek capital, in the country’s biggest IPO in more than two decades, before paring gains to about 12% later in the afternoon. German industrial machinery maker Renk AG opened 17% higher in Frankfurt after postponing its IPO last year amid market volatility, extending its climb later in the session to as much as 31%. 

The opening trades are the best for $500 million-plus IPOs in Europe in over two years, according to data compiled by Bloomberg. A smaller third company, Theon International Plc, also saw its shares debut on Wednesday, although it reversed initial gains to slip on its Amsterdam debut. This week was the busiest for IPOs in the region since July, the data showed.

“Are we going to see a torrent of IPOs? No, but (Wednesday’s deals) are very constructive as we rebuild confidence in the product and the pipeline,” James Manson-Bahr, head of Morgan Stanley’s equity syndicate for Europe, Middle East and Africa, said in an interview. 

Calmer stock markets, stake sales by financial sponsors and improved investor demand are all buoying sentiment in the European IPO market after a tough couple of years beset by delayed listings, pulled deals and weak trading debuts.

READ MORE: European IPO Pipeline Promises Rebound After Two Dull Years

“Investor interaction around the IPO market is night and day versus where we were this time last year,” Manson-Bahr said. “Investors are constructive and want to take part in the right IPOs at the right valuations.”

Wednesday’s debuts were also helped by strong demand from cornerstone investors. About a fifth of Renk Group’s increased €500 million IPO was taken up by asset management group Wellington Management Company and German-French tank manufacturer KNDS, one of the company’s largest customers. Meanwhile, AviAlliance, which already had a 40% stake in Athens Airport, was a cornerstone investor in the Greek IPO, buying a further 10%.

“What’s important in this market is that IPOs are de-risked pre-market launch,” Manson-Bahr said.

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