None of the three initial public offerings (IPOs) scheduled for election week were even floated after the surprise victory of Donald Trump roiled financial markets. This coming week may be the last chance for an IPO this month given that the Thanksgiving holiday shortens the following week. In fact, IPO activity is likely to be even slower in December.
There is one new entrant in the IPO sweepstakes this week, a biotech company based in Connecticut. It will join the three returnees from last week.
Through the week ending November 11 IPO ETF manager Renaissance Capital reported that 96 IPOs have priced in the U.S. so far this year, down nearly 39% from a year ago. Total proceeds raised through last week equaled $17.2 billion, down more than 39% compared with the same period in 2015. Of the 96 IPOs that have gone off this year, 40 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 that postponed until the week of November 14.
SenesTech Inc. has developed and is seeking to commercialize a proprietary technology for managing animal pest populations through fertility control. The company plans to offer 2 million shares in an expected price range of $12 to $14 to raise $26 million at an implied market cap of $133 million. Shares are scheduled only for the week of November 7 and will trade on the Nasdaq under the ticker symbol SNES.
Motif Bio plc is a U.K.-based late-stage biotech focused on producing antibiotics for multi-drug resistant bacteria. The firm already trades on London’s AIM and plans to offer 2.125 million American Depositary Shares (ADS) to raise $26 million at an offering price of $12.36 per ADS. The offering includes warrants and a concurrent European placement. No firm date is given. Shares will trade on the Nasdaq under the ticker symbol MTFB.
PetroShare Corp. is an oil & gas exploration and production company operating in the Denver-Julesburg Basin. The company plans to offer 6 million shares at $4.63 per share to raise about $28 million. Shares will trade on the New York Stock Exchange ARCA under the ticker symbol PRHR.
Accelerated Pharma Inc., the week’s new entrant, is a biopharmaceutical firm developing a platinum-based chemotherapy using genomic technology. The company plans to offer 1.89 million shares in an expected price range of $8 to $10 to raise $17 million at an implied market cap of $93 million. Shares will trade on the Nasdaq under the ticker symbol ACCP.