The initial public offering (IPO) market is showing no signs of easing as this week prepares for 8 companies to debut. The IPO market has come a long way from its spring season recess due to the coronavirus pandemic's unfavorable economic climate. This week will see the introduction of an even more diverse group of companies from various industries as investors become more comfortable straying from biotechs.
Last week saw that introduction of three biotechs, two Chinese social platforms, and one special purpose acquisition company (SPAC):
Nkarta, Inc. (NASDAQ: NKTX) led the pack, pricing its upsized offering above its range at $18 per share to raise $252 million in its debut. The preclinical oncology biotech skyrocketed on its first day, ending up 166%.
The second oncology biotech, Poseida Therapeutics, Inc. (NASDAQ: PSTX), was not too far behind, raising $224 million from pricing its upsized IPO at the high end at $16 per share. The company had previously withdrawn its IPO back in 2019 for more private funding and ultimately fizzled in its public debut, ending the day down 4%.
The last biotech is the French company Inventiva S.A. (NASDAQ: IVA). The biotech priced its U.S. offering at its midpoint of $14.40 per share to raise about $108 million. Although the company had reported positive results for its lead candidate in development, investors did not favor the stock in its first day, with Inventiva finishing down 7%.
The Chinese company BlueCity Holdings Ltd. (NASDAQ: BLCT) raised $85 million from pricing at $16 per share in its debut. The company is a fast-growing LGBTQ dating app that is in the early stages of monetization. The company ended its first day up 53%.
The second Chinese social platform, Quhuo Ltd (NASDAQ: QH), raised $33 million from pricing its shares at $10 each in its offering. The company is China's third largest gig worker platform and finished its first day up 28%.
To end last week's recap, Therapeutics Acquisition raised on offering $118 million, making history as the first ever warrantless SPAC. The company plans to target the biotech industry.
The week ahead has 8 offerings scheduled, ranging from healthcare related companies to software developers:
GoHealth, Inc. is planning the largest offering, aiming to raise over $908 million for 39.5 million shares priced in the range of $18-$20 each. The heath insurance marketplace platform is both fast growing and profitable, with its close rival SelectQuote (NYSE: SLQT) popping up in its 2020 debut.
Relay Therapeutics, Inc. aims to raise over $304 million from 14.7 million offered shares priced between $16-$18 each. The phase 1 biotech's lead candidate is set to begin human clinical trials sometime this year.
NCINO, Inc. is set to raise over $254 million from about 7.6 million shares offered in the range of $28-$29 each. The cloud-based banking platform is a spin-off of Live Oak (NYSE: LOB).
Trean Insurance Group, Inc. plans to raise over $184 million from about 10.7 million shares offered between $13-$15. The company is operates in the worker's compensation insurance market.
ALX Oncology Holdings, Inc. is set to raise over $156 million form 8 million shares offered between $15-$17 each. The company is a phase 1 oncology biotech.
Berkeley Lights plans to raise $126 million from 7.4 million shares priced between $16-$18 each. The company provides a platform for drug discovery and development.
Pandion Therapeutics aims to raise $94 million from 5.5 million offered shares in the range of $16-$18 each. The phase 1 biotech is developing treatments for autoimmune diseases.
ACELL Inc. plans to raise $92 million from 5 million offered shares in the range of $14-$16 each. The company makes devices for wounds and soft tissue treatments.