Investing

2 IPOs on Calendar for This Week

Paul Ausick

Published: June 12, 2016 9:25 am

Last Updated: January 13, 2020 6:54 am

Both initial public offerings (IPOs) scheduled for last week entered the public markets, but the results were less than exciting. Three more are on the calendar for the coming week, including an IPO for firm that went private in a leveraged buyout in 2014.

Atkore International Group Inc. (NYSE: ATKR), a maker of electrical raceway products primarily for the non-residential and renovation markets, sold 12 million shares at $16 a share, well below the expected range of $20 to $22. The stock closed flat on Friday, the day of its IPO.

China Online Education Group, aka 51Talk, (NYSE: COE) priced 2.4 American Depositary Shares (ADS) at $19, the midpoint of the expected range. Shares began trading Friday and closed down 0.1%.

Through the week ending June 10, IPO ETF manager Renaissance Capital reported that 36 IPOs have priced in the U.S. so far this year, down about 54% from a year ago. Total proceeds raised through last week equaled $5.8 billion, down nearly 58% compared with the same period in 2015. Of the 36 IPOs that have gone off this year, 20 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.

Viveve Medical Inc. develops and makes medical devices for the non-invasive treatment of vaginal laxity. The company currently trades over-the-counter (VIVMF) and plans to sell 1.6 million shares at an offering price of $8 per share to raise $12.5 million at an implied market cap of $76.8 million. Joint bookrunners for the offering are Ladenburg Thalmann & Co. and Craig-Hallum Capital Group. Co-manager is Maxim Group LLC. Shares are expected to begin trading Tuesday on the Nasdaq under the ticker symbol VIVE.

Paragon Commercial Corp. is a commercial bank with three offices in North Carolina. The bank currently trades over-the-counter (PBNC) and plans to offer 700,000 shares in an IPO price range of $33 to $35 to raise $25 million at an implied market cap of $181.5 million. Sole bookrunner for the offering is Raymond James and Sandler O’Neill is co-managing. Shares are expected to price Thursday and begin trading Friday on the Nasdaq under the ticker symbol PBNC.

PSAV Inc. provides audio-visual services for events held in luxury and up-scale hotels in the United States. The company plans to sell 16.1 million shares in an expected price range of $14 to $17, raising $250 million at an implied market cap of $1.11 billion. Joint bookrunners for the offering are Goldman Sachs, Morgan Stanley, Barclays, and Credit Suisse. Co-managers are Macquarie Capital, Piper Jaffray, and William Blair. Shares are expected to price Thursday and begin trading Friday on the New York Stock Exchange under the ticker symbol PSAV.

Continuing to be listed as day-to day is Cancer Prevention Pharmaceuticals Inc., a clinical-stage biopharmaceutical company developing and commercializing therapeutic agents to treat and prevent certain pre-cancerous conditions, orphan diseases, and gastrointestinal conditions. The company downsized it offering from 1.9 million shares to 1.25 million in an expected price range of $12 to $14 to raise $16.3 million at an implied market cap of $87.9 million. Sole bookrunner for the offering is Aegis Capital Corp. Shares are expected to trade on the New York Stock Exchange under the ticker symbol CPP.