The last time more deals hit the IPO Beach on the same day was on Dec. 15, 2004, which incidentally was also a Wednesday. Back then the “flippers” had a good day. Seven of the nine IPOs closed above their initial offering prices with an average opening-day gain of 21.7 percent.
This time around, five-plus years later, it remains to be seen if the “flippers” come out to play.
Here’s a sampling of what is on the calendar: Three companies are attempting to go public for a second time. The retreads are:
- Alimera Sciences (ALIM – proposed) filed for an IPO to raise $75 million on July 1, 2008, and withdrew on April 8, 2009.
- Codexis (CDXS – proposed) filed for an IPO to raise $100 million on April 14, 2008, and withdrew on Sept. 3, 2009.
- Mitel Networks (MITL proposed) filed for an IPO to raise $150 million on May 10, 2006, withdrew on Sept. 26, 2009.
Two Names to Remember
Nevertheless, there are two deals the “flippers” say are worth watching. Both are specialty technology companies, a hot sector in today’s IPO market. Snapshots are below.
DynaVox (NASDAQ: DVOX – proposed) is a Pittsburg-based provider of software, devices and content designed to help people with speech or language difficulties due to a stroke or brain trauma, or due to diseases or conditions such as Lou Gehrig’s disease, cerebral palsy or autism. The company’s products allow users to select the words or phrases from a series of customized pages on a touch screen. The company also makes type-and-talk devices that let users generate electronic speech by typing words on a keyboard, and it offers handheld speech-output solutions.
For the 26-week period ending Dec. 31, 2009, DynaVox reported net income of $5.4 million on net sales of $52.9 million, compared with net income of $725,000 on net sales of $38.8 million for the same period a year ago.
DynaVox’s industrial sector and its index, the Dow Jones U.S. Software & Computer Services Index (DJUSSV), closed on Friday, April 16, 2010, at 717.30 — UP 43.2 percent from 500.76, its close a year ago on April 17, 2009.
In comparison, the Nasdaq Composite Index closed on Friday April 16, 2010 at 2,481.26 — UP 48.5 percent from 1,673.07, its close on April 17, 2009.
DynaVox expects to price 9.4 million shares at $15 to $17 each to raise $250 million.
SPS Commerce (SPSC – proposed) is a Minneapolis-based provider of on-demand supply chain management solutions. The company believes its software suite improves the way suppliers, retailers, distributors and other customers manage and fulfill orders.
For the three months ending Dec. 31, 2009, SPS Commerce reported net income of $213,000 on revenues of $9.98 million, compared with a net loss of $295,000 on revenues of $8.1 million for the same period a year ago.
SPS Commerce’s industrial sector and its index, the Dow Jones U.S. Software Index (DJUSSW), closed on Friday, April 16 at 673.30 — UP 47.1 percent from 452.50, its close a year ago on April 17, 2009.
SPS Commerce expects to price 3.3 million shares at $11 to $15 each to raise $40 million.
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.