U.S. IPO Weekly Recap: August Wraps Up With 1 Nano-Cap
Summary
- There was just one pricing this past week, which was excluded from our IPO stats, while holdover biotech Adlai Nortye did not get done.
- Filing activity reached a six-month high in August, and six issuers filed to raise $100 million or more, the most since January.
- Veterinary hospital operator Inspire Veterinary Partners priced at the low end to raise $6 million at a $41 million market cap.
- One small deal is currently scheduled for the short week ahead, but all eyes are on Arm, which is expected to launch after Labor Day.
- Street research is expected for two companies in the week ahead, and two lock-up periods will be expiring.
TimArbaev
There was just one pricing this past week, which was excluded from our IPO stats, while holdover biotech Adlai Nortye (ANL) did not get done. Two foreign issuers also submitted initial filings.
Filing activity reached a six-month high in August, and six issuers filed to raise $100 million or more, the most since January. Among the big names were UK-based chip designer Arm (ARM), which could launch in the week ahead, and grocery delivery platform Instacart (CART). For more on these names and the many others in the IPO pipeline, read our newly-released Fall 2023 US IPO Preview.
While not included in our stats, veterinary hospital operator Inspire Veterinary Partners (IVP) priced at the low end to raise $6 million at a $41 million market cap. It owns and operates a network of 13 veterinary hospitals across nine states in the US, and specializes in small animal general practice hospitals, with an emphasis on cats and dogs. Inspire Veterinary Partners finished the week down 20%.
Singaporean ride-hailing app Ryde (RYDE) filed to raise $17 million. About three-quarters of its revenue comes from its carpooling and ride-hailing services, although it also makes money from advertising and membership revenue. Japanese online retailer Linkage Global (LGCB) filed to raise $8 million at a $108 million market cap. It sources products from Japanese and Chinese manufacturers and brands, as well as private labels, which it then recommends to customers.
| 2 Filings During the Week of August 28th, 2023 | |||
|---|---|---|---|
| Issuer Business | Deal Size | Sector | Lead Underwriter |
| Linkage Global (LGCB) | $8M | Technology | EF Hutton |
| Japanese online retailer and provider of cross-border e-commerce services. | |||
| Ryde (RYDE) | $17M | Technology | Maxim |
| Operates a ride-hailing app in Singapore. | |||
Week Ahead
One small deal is currently scheduled for the short week ahead, but all eyes are on Arm (ARM), which is expected to launch after Labor Day.
On file for an estimated $6 billion IPO, Arm is expected to join the calendar on Tuesday. The chip designer would be one of the largest tech IPOs of the past two decades, and could be the deal to finally break through the post-2021 tech logjam. Tech names and recent filers Instacart (CART) and Klaviyo (KVYO) are expected to follow as the IPO market gains steam through year-end. For more on what to expect in the coming months, read our Fall 2023 US IPO Preview.
The week’s sole scheduled deal, Gamer Pakistan (GPAK) plans to raise $8 million at a $115 million market cap. The pre-revenue company is initially focused on creating men's and women's college, inter-university, and professional esports events, particularly with colleges and universities in Pakistan.
| U.S. IPO Calendar | |||
|---|---|---|---|
| Issuer Business | Deal Size Market Cap | Price Range Shares Filed | Top Bookrunners |
| Gamer Pakistan (GPAK) Henderson, NV | $8M$115M | $4 - $51,700,000 | WestPark Capital |
| Pre-revenue organizer of esports events in Pakistan. | |||
Street research is expected for two companies in the week ahead, and two lock-up periods will be expiring.
IPO Market Snapshot
The Renaissance IPO Indices are market cap weighted baskets of newly public companies. As of 8/31/2023, the Renaissance IPO Index was up 31.9% year-to-date, while the S&P 500 was up 18.7%. Renaissance Capital's IPO ETF (IPO) tracks the index, and top ETF holdings include Airbnb (ABNB) and Snowflake (SNOW). The Renaissance International IPO Index was down 13.3% year-to-date, while the ACWX was up 9.2%. Renaissance Capital’s International IPO ETF (IPOS) tracks the index, and top ETF holdings include Kuaishou and Porsche.
Editor's Note: The summary bullets for this article were chosen by Seeking Alpha editors.
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