IPO Market Could Launch 4 New Firms Next Week

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All four of last week’s initial public offering (IPO) candidates succeeded in reaching the public markets. The results were definitely a mixed bag although the first IPO of an oil & gas production company in more than two years was the week’s big success.

Extraction Oil & Gas Inc. (NASDAQ: XOG) priced its offering at $19, above the expected range, and raised $633 million with a first day pop of 15%. The Niobrara producer firm closed the week up 14.6%.

The week’s other successful IPOs were Mammoth Energy Services Inc. (NYSE: TUSK) which ended its first week trading down 11.6%; Azure Power Global Ltd. (NYSE: AZRE), down 23.6% after its first week; and AzurRX BioPharma (NASDAQ: AZRX), down 4.4% for the week. Blank check company Avista Healthcare Public Acquisition Corp. (NASDAQ: AHPA) also completed its IPO last week.

Through the week ending October 7 IPO ETF manager Renaissance Capital reported that 85 IPOs have priced in the U.S. so far this year, down about 42% from a year ago. Total proceeds raised through last week equaled $14.1 billion, down nearly 48% compared with the same period in 2015. Of the 85 IPOs that have gone off this year, 36 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, nor does it include IPOs that raise less than $10 million.

Here are the three IPOs on the coming week’s calendar along with one that is listed as day-to-day.

CRISPR Therapeutics AG is a Switzerland-based gene editing company applying a proprietary technology to a broad set of rare and common diseases. The company plans to offer 4.7 million shares in an expected price range of $15 to $17 to raise about $75 million at an implied market cap of $636 million. Shares are expected to price Wednesday and begin trading Thursday on the Nasdaq under the ticker symbol CRSP.

Forterra Inc. is a manufacturer of pipe and other precast products for a variety of water-related infrastructure applications. The company plans to offer 18.4 million shares in an expected price range of $19 to $21 to raise about $368 million at an implied market cap of $1.28 billion. Shares are expected to price Wednesday and begin trading Thursday on the Nasdaq under the ticker symbol FRTA.

iRhythm Technologies Inc. is a commercial-stage medical device provider that offers a technology for diagnosing and monitoring patients with cardiac arrhythmias. The company plans to offer 5.4 million shares in an IPO price range of $13 to $15 to raise about $75 million at an implied market cap of $283 million. Shares are expected to price Wednesday and begin trading Thursday on the Nasdaq under the ticker symbol IRTC.

Listed as day-to-day this week is Full Spectrum Inc. The firm designs and sells a software-defined radio technology for wireless networks, and plans to offer 1.9 million shares in an expected price range of $7 to $9 to raise $15 million at an implied market cap of $48.7 million. Shares are expected to trade on the Nasdaq under the ticker symbol FMAX.