The IPO Buzz: Carpool Karaoke, Anyone?

No IPOs are on tap so far this week. But if you love “Carpool Karaoke,” today is worth noting. Shares of The Singing Company, Inc. (MICS) started trading today (Tuesday, May 24, 2022) on the NASDAQ – opening at $2.80 and closing at $2.75, down 31.25 percent from the public offering price – making this a broken deal. The company, which makes the Carpool Karaoke microphone for the car and karaoke machines for consumers, priced its public offering of 1 million shares at $4 a share – in connection with its NASDAQ uplisting from the OTCQX. The pricing followed its 1:30 reverse stock split, which was effective on Monday, May 23, 2022. (Editor’s Note: This column, published Tuesday, May 24, 2022, before the U.S. stock market’s open, was updated later with news of The Singing Company’s stock performance on its first day of trading on the NASDAQ. This was NOT an IPO.)

Aegis Capital Corp. was the sole book-runner for The Singing Company’s public offering. The deal was upsized to 1 million shares from slightly more than 784,000 shares in the prospectus.

The U.S. stock market’s slide this year has brought most traditional IPO activity almost to a standstill. Yet some small-cap deals continue to brave the market’s storm. NASDAQ uplisting deals, which are technically secondary offerings, along with small-cap IPOs, including unit IPOs, and some SPAC IPOs are still getting done.

After Monday’s gains, the major U.S. stock indexes opened lower on Tuesday. If adding a drop of Baileys Irish cream to your morning coffee does not take the edge off of another rainy day on Wall Street, then it might be a good time to revisit your favorite episodes of “Carpool Karaoke” with James Corden, the host of “The Late Late Show with James Corden.” Two of my faves: James in London with Adele and in L.A. with Barbra Streisand.