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US IPO Weekly Recap: Growth IPOs take the lead in a 5-IPO week

Five IPOs raised $1.4 billion in the IPO market this past week. Silk Road Medical ( SILK ) took the top spot, spiking 81% on its first day. The company priced well above its range to raise $120 million, 60% more than anticipated. It follows in the footsteps of recent high-flying, high-growth medical device maker ShockWave Medical ( SWAV ).

Tradeweb ( TW ) priced above the range and offered additional shares to raise $1.1 billion, or 58% more than expected. The company boasts strong growth and free cash flow, along with a close peer (MarketAxess) that investors can peg a valuation to.

Chinese e-commerce platform Ruhnn Holding (RUHN) raised $125 million by pricing at the midpoint, before dropping 37% on its first day, the worst for a tech IPO in over 20 years . It recovered slightly by week-end, but had numerous issues (Pre-IPO Report available to IPO Intelligence clients).

Billion-dollar NASH biotech NGM Biopharmaceuticals (NGM) priced at the high end of the range but traded down. Medical food micro-cap Guardion Health Sciences (GHSI), which raised $5 million, also fell below issue. One SPAC, Latin America-focused Replay Acquisition (RPLA.U) raised $250 million.

5 IPOs and 1 SPAC During the Week of April 1st, 2019
IssuerBusiness DealSize Market Capat IPO Price vs.Midpoint First DayReturn Returnat 04/05
Silk Road Medical ( SILK ) $120M $675M 25% +81% +79%
Sells medical devices to treat carotid artery disease.
Tradeweb Markets ( TW ) $1,080M $6,191M 8% +33% +35%
Electronic trading platform backed by Blackstone and Thomson Reuters.
Replay Acquisition (RPLA.U) $250M $313M 0% +1% +1%
Blank check company formed to acquire a business in Argentina or Brazil.
NGM Biopharmaceuticals (NGM) $107M $1,146M 7% -8% -6%
Phase 2 biotech developing therapies for NASH and type 2 diabetes.
Guardion Health Sciences (GHSI) $5M $94M 14% -8% -8%
Sells medical food and devices for retinal diseases.
Ruhnn Holding (RUHN) $125M $1,034M 0% -37% -32%
E-commerce platform used by Chinese internet celebrities to sell fashion items.

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Six companies submitted initial filings this past week, led by recently-restructured radio giant iHeartMedia (IHRT.RC), Scientific Games spinoff SciPlay (SCPL), and small but fast-growing medical device maker TransMedics (TMDX).

6 Filings During the Week of April 1st, 2019
IssuerBusiness DealSize Sector LeadUnderwriter
SciPlay (SCPL) $200M Consumer Discretionary BofA ML
Scientific Games' social gaming unit offering casino-style mobile games.
TransMedics (TMDX) $86M Health Care Morgan Stanley
Medical device company that provides a system for organ transplants.
Trevi Therapeutics (TRVI) $86M Health Care Leerink
Clinical stage biotech developing therapies for neurological disorders.
Bricktown Brewery (BEER) $17M Consumer Discretionary ThinkEquity
Oklahoma-based operator of 14 casual dining restaurants serving in-house beers.
iHeartMedia (IHRT.RC) $1,500M Communication Services Goldman
Restructured radio station operator with the US's largest footprint.
Postal Realty Trust (PSTL) $115M Real Estate Stifel
Recently-formed REIT that manages and leases properties to the USPS.

IPO Market Snapshot

The Renaissance IPO Indices are market cap weighted baskets of newly public companies. As of 4/4/19, the Renaissance IPO Index was up 32.2% year-to-date, while the S&P 500 had a gain of 15.5%. Renaissance Capital's IPO ETF ( IPO ) tracks the index, and top ETF holdings include Elanco (ELAN) and VICI Properties (VICI). The Renaissance International IPO Index was up 11.1% year-to-date, while the ACWX was up 12.6%. Renaissance Capital's International IPO ETF ( IPOS ) tracks the index, and top ETF holdings include SoftBank and Xiaomi.

The article US IPO Weekly Recap: Growth IPOs take the lead in a 5-IPO week originally appeared on IPO investment manager Renaissance Capital's web site renaissancecapital.com.

Investment Disclosure: The information and opinions expressed herein were prepared by Renaissance Capital's research analysts and do not constitute an offer to buy or sell any security. Renaissance Capital's Renaissance IPO ETF (symbol: IPO) , Renaissance International ETF (symbol: IPOS) , or separately managed institutional accounts may have investments in securities of companies mentioned.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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