The lull is over. The annual February pause in IPO activity spilled into March this year, but 2018's record-breaking start now looks ready to resume. Another billion-dollar IPO joined the pipeline .
One IPO priced this week, the first in almost a month. AI-based biotech BioXcel Therapeutics priced at the low end and finished flat at the offer price. Three IPOs and one SPAC are scheduled for the week ahead , including tech unicorn Zscaler .
Sign up for a free trial of our premium platform, IPO Pro . Follow us on Twitter ( @IPOtweet ) and register for our updates on the IPO market.Artificial Intelligence smarts investors as biotech finishes flatBioXcel Therapeutics
|1 IPO During the Week of March 5th, 2018|
|BioXcel Therapeutics ( BTAI )||$60M||$197M||-8%||+0%||+0%|
|Developing new uses of drugs to treat neurological disorders and cancer.|
) priced at the low end of its range to raise $60 million. The newly-formed biotech licenses AI from its parent to identify new uses for existing drugs. But that is an unproven technology, and its trials are all early stage. Based on recent IPOs, investors appear more interested in breakthroughs in gene therapy and immunotherapy.
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Markets raced higher this past week. The Renaissance IPO Index surged 4.0% while the S&P 500 gained 3.5%.
The VIX Volatility Index hit a one-month low. making the current e a very good time to go public. The 2018 US IPO class has an average return of 21%, led by three biotechs. The year's two tech IPOs (PAGS, CDLX) also have strong gains.
IPO Filings update: DirecTV Latin America files
Two companies submitted initial filings this past week. AT&T's Latin American DirecTV business Vrio
) filed for a US IPO that we estimate could raise $1.5 billion. The company booked $5.6 billion in 2017 sales, up 11% from the prior year, with a 22% EBITDA margin. In addition, a small California bank, OP Bancorp
), filed to raise $20 million.
IPO Market Snapshot
|2 Filings During the Week of March 5th, 2018|
|Vrio ( VRIO )||$1,500M||Consumer Discretionary||Goldman|
|AT&T spin-off of its Latin American DirecTV satellite TV service.|
|OP Bancorp ( OPBK )||$20M||Financials||KBW|
|California commercial bank primarily serving Korean-American communities.|
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The article US IPO Weekly Recap: Another billion-dollar IPO filing as activity prepares to pick up
originally appeared on IPO investment manager Renaissance Capital's web site renaissancecapital.com. Investment Disclosure:
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or the Global IPO Fund (symbol: IPOSX)
, may have investments in securities of companies mentioned.