Wall Street reaches across the waves to produce this week’s IPO calendar of seven deals; four are from foreign shores.
Three IPOs are from China, one hails from Argentina, and the other three are homegrown companies from the IPO industrial sectors that have dominated the past few years – namely the biopharmaceutical companies as well as the oil and gas limited partnerships. Collectively, the seven deals aim to raise $1.53 billion.
We have to look back to the week of June 26, 2017, to find a bigger week. That calendar listed 10 deals planning to raise $1.48 billion. For the record, nine got out the door, and then the new-issue market closed down for the traditional July 4th holiday break.
This week’s IPO calendar follows the recent Labor Day holiday. Let’s take a quick peek at what is on tap. Out of China are BEST (BSTI – proposed), Secoo Holding (SECO – proposed) and Zai Lab (ZLAB – proposed). Out of Argentina is Despegar.com (DESP – proposed) and rounding out the list are from three from the good old USA: Celcuity (CELC – proposed), Krystal Biotech (KRYS – proposed) and Oasis Midstream Partners (OMP – proposed).
BEST, based in Hangzhou, China, considers itself a new business model leveraging technology to transform China’s logistics and supply chain industry. The company provides supply chain management, express delivery, freight, merchandise sourcing, cross-border supply chain, last-mile, financial and value-added services.
Note: After the offering, Alibaba Investment Limited expects to own 37.3 percent of the voting power, and Shao-Ning Johnny Chou, BEST’s founder, chairman and chief executive officer, expects to own 46 percent of the voting power of BEST.
Secoo Holding, based in Beijing, is a provider of an integrated online and offline shopping platform in China and internationally. The company offers upscale brand products (Versace, for example) and services, such as bags, watches, women’s and men’s wear, footwear, children’s wear, sportswear, cosmetics and skin care products, jewelry, accessories, automobiles, home goods, fine food and beverage products, art and original Chinese products as well as lifestyle services.
Zai Lab, based in Shanghai, is a biopharmaceutical company focused on discovering, licensing, developing and commercializing therapeutic technology for antibody-based oncology, autoimmune and infectious disease treatments for unmet medical needs in the China market.
Out of Argentina
Despegar.com, based in Buenos Aires, is considered the Expedia of South America. The company offers online booking for hotels, car rentals, flights, vacation rentals, packages and tickets. Despegar.com also provides an online platform to compare tickets and packages.
Back in the USA
Celcuity, based in Minneapolis, is a cellular analysis company working on the discovery of new cancer sub-types and the commercialization of diagnostic tests. The company’s technology uses a patient’s living tumor cells to identify the specific abnormal cellular process driving that person’s cancer and the best targeted therapy.
Krystal Biotech, based in Pittsburg, is a biopharmaceutical company developing a proprietary gene therapy platform to develop treatments for patients suffering from rare and debilitating skin disorders.
Oasis Midstream Partners, based in Houston, operates a master limited partnership to develop a diversified portfolio of midstream assets in North America that are integral to the oil and natural gas operations of Oasis Petroleum, Inc. (OAS). The company’s midstream operations are within the Williston Basin, one of the most prolific crude oil-producing basins in North America.
Note: Oasis plans to pay a minimum quarterly distribution of $0.375 per unit for each whole quarter, or $1.50 per unit on an annualized basis, to yield 7.5 percent based upon the mid-point of its price range, the prospectus says.
(For more information about these companies, please check the IPO profiles found on IPOScoop.com’s website.)
Wrapping Up September
The IPO calendar has only two deals on the calendar for the week of Sept. 26, 2017. But it’s worth remembering that when the U.S. Securities and Exchange Commission’s filing window opens on Monday morning, anything can happen.
Disclosure: Neither the author nor anyone else on the IPOScoop.com staff has a position in any stocks mentioned, nor do we trade or invest in IPOs. The author and IPOScoop.com staff do not issue advice, recommendations or opinion.