Now for some perspective: The facts are easily checked. The IPOScoop.com editors direct you to look the left of our Website under “Pricings” and open “2012 Pricings.” You’ll see all 22 IPOs priced in 2012, according to the U.S. Securities and Exchange Commission filings.
Next, click on “Industry” on the top bar to sort – well, by industry. That’ll identify eight technology IPOs and their aftermarket performances. (The returns are calculated on the previous day’s close.) As of Friday, March 2, there were six winners, two losers and the average gain for all eight was 37.5 percent. That was more than double the 18.4 percent average gain for the other 14 IPOs that have been priced this year.
The “IPO Pipeline” on the Website shows a pie chart of IPOs by industrial breakdown dating back 12 months. (The details are available to paid subscribers).
Note: “Financials” may show the most – 40 in the pipeline, but that is somewhat misleading. About half are real estate investment trusts, also known as REITs. Next comes “Technology” with 38. Yes, the Facebook IPO is the most prominent.
This brings us to this week and its IPO calendar.
There are five companies that are looking to raise over $700 million. Three are new faces on the calendar. They are a business development company (Crescent Capital Finance Group – CCFG – proposed), a residential mortgage loan servicer (Nationstar Mortgage Holdings – NSM – proposed) and a real estate investment trust (Select Income REIT – SIR – proposed). The other two deals are carryovers from previous weeks.
Potential Dragon on Demand
Then it’s on to the next week – March 12 – and a possible fire-breathing dragon:
Demandware (DWRE – proposed) announced pricing terms on Thursday, March 1, to offer 5.5 million shares at $12.50 to $14.50 each. The deal jumped on the calendar to be priced on Wednesday evening, March 14, to trade Thursday morning, March 15.
Based in Burlington, Massachusetts, Demandware provides software-as-a-service e-commerce solutions that enable companies to design, implement and manage their own customized e-commerce sites, including websites, mobile applications and other digital storefronts.
Note: Demandware was formed in 2004. It initially focused on building its cloud-based architecture and merchandising applications – another cloud IPO.
Disclosure: Neither the author nor anyone else on the IPOScoop.com staff has a position in any stocks mentioned, nor do they trade or invest in IPOs. The author and IPOScoop.com staff do not issue advice, recommendations or opinions