Five IPOs and two SPACs plan to raise $634 million in the week ahead.
One of the leading makers of cryptocurrency mining equipment, Canaan (CAN) plans to raise $100 million at a $1.6 billion market cap. It originally filed to raise $400 million (and in 2018 was rumored to be targeting over $1 billion). The #2 player in the space, Canaan has shown that it’s capable of being highly profitable, with a 61% net margin in the 1Q18. However, its performance is heavily influenced by Bitcoin prices; a price slump earlier in the year caused Canaan’s sales to fall 96% in the 1Q19.
Being carved out of Consolidated-Tomoka (NYSE: CTO), retail and office REIT Alpine Income Property Trust (PINE) plans to raise $150 million at a $182 million market cap and a 4% yield at the midpoint. Alpine Income is small with a concentrated tenant base, but it has a 100% leased portfolio and a large acquisition pipeline that should drive future growth.
Chinese debt collector YX Asset Recovery (YXR) plans to raise $81 million at a $541 million market cap. YX Asset Recovery is the largest collector of tertiary receivables in China with a 9% market share, according to iResearch, with roughly $4 billion in receivables under collection as of 6/30/19.
MegaChips spin off SiTime (SITM), a fabless producer of silicon timing systems, plans to raise $60 million at a $200 million market cap. The semiconductor industry is highly cyclical and is currently experiencing a downturn, but SiTime has established itself as a leader in the silicon MEMS oscillators market, claiming a 90%+ share.
Micro-cap auto e-tailer LMP Automotive Holdings (LMPX) plans to raise $18 million at a $51 million market cap. The company had high growth in 2018, but revenue fell 28% in the 9mo19, and its gross margin has yet to swing positive.
Former Ooyala executives’ SPAC Software Acquisition Group (SAQNU) plans to raise $125 million, and Metalmark Capital and Avego Healthcare Capital’s joint venture Amplitude Healthcare Acquisition (AMHCU) plans to raise $100 million.
Lock-up periods for Bicycle Therapeutics (BCYC), IDEAYA Biosciences (IDYA), and Rattler Midstream (RTLR) will be expiring this week on Tuesday, November 19.
|U.S. IPO Calendar|
|Issuer Business||Deal Size Market Cap||Price Range Shares Filed||Top Bookrunners|
|Amplitude Healthcare Acq. (AMHCU)New York, NY||$100M $125M||$10 10,000,000||BMO Leerink|
|Blank check company formed by Metalmark Capital and Avego Healthcare Capital targeting healthcare in the US or Europe.|
|YX Asset Recovery (YXR)Changsha, China||$81M $541M||$7.75 - $9.75 9,282,000||Deutsche Bank CMB International Capital|
|Provides delinquent consumer debt collection services in China.|
|Canaan (CAN)Hangzhou, China||$100M $1,581M||$9 - $11 10,000,000||Citi China Ren.|
|Leading maker of cryptocurrency mining equipment.|
|SiTime (SITM)Santa Clara, CA||$60M $200M||$13 - $15 4,300,000||Barclays Stifel|
|Fabless producer of silicon timing systems being spun out of MegaChips.|
|Alpine REIT (PINE)Daytona Beach, FL||$150M $182M||$19 - $21 7,500,000||Raymond James Baird|
|Single-tenant commercial net lease REIT formed by Consolidated-Tomoka.|
|LMP Automotive (LMPX)Plantation, FL||$18M $51M||$5 - $6 3,227,500||ThinkEquity|
|Operates an e-commerce site where users can buy, sell, and rent cars.|
|Software Acquisition (SAQNU)Las Vegas, NV||$125M $156M||$10 12,500,000||B. Riley FBR|
|Blank check company led by former Ooyala officers targeting a software company.|
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.
Alpine Income Property Trust
Amplitude Healthcare Acquisition
LMP Automotive Holdings
Software Acquisition Group
YX Asset Recovery
IPO Market Snapshot
US IPO Week Ahead: IPO market cashes in on crypto as Canaan leads 5-IPO week
Investment Disclosure: Renaissance IPO ETF (symbol: IPO) Renaissance International ETF (symbol: IPOS)
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
In This StoryCAN
- Social media management platform Sprout Social sets terms for $150 million IPO
- Back-officer automation unicorn Bill.com sets terms for $150 million IPO
- Money moves: Brazilian brokerage XP sets terms for $1.7 billion US IPO
- US IPO Week Ahead: Saudi Aramco attempts largest-ever global IPO as US market preps for December blitz