Take a deep breath. Tax Day has passed! Huzzah! Also providing a little cause for celebration is that fact that midway through April, the IPO market may be perking up a bit.
Last week, the largest debut of the year landed in Bats Global Markets, Inc., with proceeds of $290.6M. Out of Financials, it was also the first IPO of the year – out of a total of eight – that didn’t hail from the Healthcare sector. For some perspective, last year saw a total of 21 new issuers come to market from the Financials sector with 10 deals pricing prior to April 15th. So we’re a bit off 2015’s pace.
Bats Global Markets’ reign as the largest IPO of the year looks to be short-lived as MGM Growth Properties expects to land later this week with proceeds of $975.0M. Also coming down the pike this week is American Renal Associates Holdings, Inc., proving the Healthcare is not going away just yet (as if we’d ever expect it to) and looking to raise $161.3M as the seventh debut from the prolific sector. Finally, SecureWorks Corp. is expected to be the first Technology company to price this year and bring in $148.5M in total proceeds.
Meanwhile, three companies filed for market debuts last week: Midland States Bancorp, Inc., Intellia Therapeutics, Inc., and AdvancePierre Foods Holdings, Inc. Additionally, two more filed this week: Gamphire Therapeutics Inc. and PhaseRx, Inc., both of which hail from the Healthcare sector. This is in stark contrast to March, which saw a total of three issuers file for IPOs during the entire month.
Hopefully they’ll stay on track, and won’t eventually get postponed due to market conditions, like so many other IPOs so far this year, and a mild spring will give way to a hot Summer.