IPO Roundup April 4, 2016


Social media start-up Vamp plots Australian IPO

The social media tech start-up backed by Qantas and Fairfax Media director Todd Sampson has revealed plans to list on the Australian Stock Exchange by mid-May.

Visual Amplifiers, also known as Vamp, with investment bank Moelis as its adviser, is seeking to capitalise on growing demand from advertising agencies and high-profile consumer brands to connect with Instagram “influencers”.

Moelis managing director Ben Wong and Vamp’s executive team led by co-founder Ben McGrath will embark on an investor roadshow throughout Australia and Asia over the next few weeks as part of a plan to raise $15 million in the initial public offering. 


One Biotech IPO on Tap for First Week of Q2 – 24/7 Wall St.

Just like the entire first quarter, the last week of March was a disappoint for initial public offering (IPO) investors. No offering made it out, and the one that had been scheduled to try, Sensus Healthcare, has postponed.

There is one IPO on the coming week’s calendar, another biotech that, if successful, will bring this year’s total to date up to 9, all healthcare companies and most of which had serious insider buying at the IPO.

Through the week ending April 1st, IPO ETF manager Renaissance Capital reported that 8 IPOs have priced in the U.S. so far this year, down about 77% from a year ago. Total proceeds raised through last week equaled $700 million, down nearly 88% compared with the same period in 2015. Of the 8 IPOs that have gone off this year, all have come from the healthcare sector. Last year’s IPO total came in at $30 billion on 170 offerings. Renaissance Capital does not include “best efforts” or blank-check companies in its totals. 


One51 eyes at least four acquisitions amid IPO plans – Independent.ie

The company is mulling plastics acquisitions in western Canada, the United States and continental Europe, as well as one or two bolt-on acquisitions to its environmental business.

One51 has previously guided that it sees its recent acquisition of a majority stake in Quebec-based IPL, which makes products like wheelie bins and food containers, as a platform for growth in North America. 


Quadrant’s Icon Group eyes Asia ahead of potential $1b IPO

Cancer care provider Icon Group is hunting for deals in south-east Asia as private equity backer Quadrant looks towards an exit, valuing the group up to $1 billion, in the next 18 months.

New group chief executive Mark Middleton was kicking the tyres in the Asian region at Easter as he rolls out three new Australian integrated cancer care centres in the coming months.

“I’m hopeful that next time we talk we’ll be talking about international growth. We’re really excited about the possibilities in south-east Asia. We think there is significant opportunity for a provider of our scale and expertise,” he said. 


Tech startups choose to stay private in IPO standoff | afr.com

Over the last several decades, there were two distinctly dark periods for US technology companies — the bursting of the dot-com bubble in 2000 and the 2008 financial crisis. In those periods, investors had such distaste for risk that technology companies shied away from initial public offerings of stock.

Now, for only the fourth time since data has been collected, there have been no US tech company IPOs in a quarter.

In the first three months of 2016, not a single technology company went public, according to data compiled by Dealogic. Since the early 1990s, when the firm started collecting data, tech IPOs have been absent from only three quarters: the third quarter of 2002, the first quarter of 2003 and the first quarter of 2009. 


IPO window slams shut on 22 tech companies seeking just $1.5 billion | VentureBeat | Business | by Blaise Zerega

When it comes to going public, sometimes discretion is the better part of valor.

The first quarter of 2016 saw no technology IPOs on U.S. markets, according to a report released last week by research firm Dealogic. The last time this was happened was seven years ago, in the months following the collapse of Lehman Brothers as the Great Recession was getting underway.

This time it’s different. During the first three months of the year, the U.S. stock markets were marked by overall volatility. The shares of many tech stocks – Facebook, Amazon, Google and others – took a sharp dive in early February before rebounding during the rest of the quarter. 


Europe’s IPO market has ladders as well as snakes | Business Recorder

Europe’s market for initial public offerings may be about to perk up after three months of droop. But not for very long. The $9.6 billion raised globally via new issues in 2016 so far, the lowest quarterly total since 2009, according to Renaissance Capital, sets the tone for the rest of the year.

Equity capital market professionals often talk of windows of opportunity, when market volatility is low and political uncertainty absent. That window is open right now, at least a crack, giving some support to the invariable optimism displayed by deal jockeys. Equity market volatility has fallen to helpfully low levels: the VIX index, a key measure of fear, closed on March 30 at 13.56, a comfortable level relative to its recent February high of 28.14.  


Infibeam to list shares on Monday – Livemint

Infibeam Inc., which has raised Rs.450 crore through its initial public offer (IPO), will make its stock market debut on Monday, becoming the first e-commerce player in the country to get listed. The IPO, which opened from 21-23 March, was subscribed 1.11 times at a price band of Rs.360-432 per share.

Among other categories, the portion set aside for non-institutional investors received 2.23 times subscriptions while that of retail investors was subscribed 1.31 times. “…effective Monday, 4 April 2016, shares of Infibeam Incorporation shall be listed and admitted to dealings on the exchange in the list of ‘B’ Group of securities,” BSE said in a circular.

In another circular, NSE said shares of the company will be listed on the exchange with effect from 4 April. Started in 2007, Infibeam runs several e-commerce services like Infibeam.com, BuildaBazaar, Incept and Picsquare. Infibeam plans to utilize the IPO proceeds towards setting up of a cloud data centre and shifting and setting up of registered and corporate office of the company. 


The IPO Standoff – AVC

The NY Times suggests that the reason there have been no tech IPOs in the past quarter is that the tech sector is having a “standoff” with the public markets.

The logic goes like this: 


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