The IPO Buzz: Sight Sciences & F45 Priced on an 8-IPO Night

Sight Sciences Inc. (SGHT proposed) increased its IPO’s size early Wednesday morning – and priced it Wednesday evening at $24, the top of its new $23-to-$24 range, on 10 million shares. The vision-focused medical device maker’s deal is among a dozen healthcare IPOs on the IPO Calendar this week. Healthcare is the theme of the week. Bankers expect to raise more than $4.2 billion in a roster of about 20 deals.

Fitness, finance and the post-pandemic party scene also appeared on this week’s IPO playlist. Eight IPOs were priced Wednesday night, ranging from Sight Sciences to F45 Training, the fitness company, and Membership Collective Group, better known as Soho House. A grocery-focused shopping center REIT, Phillips Edison & Co., Inc., along with two more healthcare deals – Rapid Micro Biosystems, Inc. and Sera Prognostics – and two SPACs – a tiny tech SPAC, TradeUP Acquisition Corp., plus a green energy SPAC, CleanTech Acquisition Corp. – also were priced on Wednesday night.

F45 Training Holdings Inc. (FXLV proposed), a fitness training franchise company backed by actor Mark Wahlberg, priced its IPO on Wednesday night at $16 – the mid-point of its $15-to-$17 range – on 20.3 million shares. Up to 3 percent of the stock in this IPO was offered to retail investors through Robinhood, according to the prospectus. Goldman Sachs and J.P. Morgan were the joint book-runners. The shares are set to start trading on Thursday on the New York Stock Exchange. The Austin, Texas-based company is a fitness training franchise that offers 45-minute intensity, interval and functional training.

Phillips Edison & Co. (PECO proposed), a dividend-paying REIT, priced its IPO on Wednesday night at $28 – the low end of its $28-to-$31 price range – on 17 million shares. Morgan Stanley, BofA Securities, J.P. Morgan, BMO Capital Markets, Goldman Sachs, KeyBanc Capital Markets, Mizuho Securities and Wells Fargo Securities were the joint book-runners. Phillips Edison, based in Cincinnati, owns or holds interests in 300 neighborhood shopping centers anchored by grocery stores.

The post-pandemic party scene was represented this week by Membership Collective Group (MCG proposed), the parent of Soho House, a global network of private clubs. The Soho House IPO was priced Wednesday night at $14 – the bottom of its $14-to-$16 price range – on 30 million shares, the same number of shares in the prospectus. J.P. Morgan, Morgan Stanley, BofA Securities, Goldman Sachs and HSBC were the joint book-runners of the Soho House deal.

Here’s Looking At You

Sight Sciences makes two commercial products to treat two of the most common eye diseases, glaucoma and dry eye disease:

  • The OMNI Surgical System, a handheld single-use therapeutic device that lets eye surgeons reduce intraocular pressure in the eyes of adult glaucoma patients, and
  • The TearCare System, a wearable open-eye device to apply localized heat to eyelids to relieve dry eye.

Glaucoma is a leading cause of blindness. Dry eye disease (DED) can damage the cornea and impair vision, if it’s left untreated.

Sight Sciences, based in Menlo Park, California, raised the size of its IPO to 10 million shares, up from 7 million, and increased the price range to $23 to $24 – up from $20 to $23 – in an S-1/A filing early Wednesday morning, reflecting the strong demand for the deal. (Source: S-1/A filing dated July 14, 2021.) The stock is expected to start trading Thursday on the NASDAQ.

“Increase a deal. Double my order,” is the Wall Street adage that will sound familiar to those who have followed John E. Fitzgibbon, the founder and editor of IPOScoop, for years.

Morgan Stanley, BofA Securities, Citigroup and Piper Sandler are the joint book-runners.

Six deals – all from the healthcare sector – landed on the IPO Calendar on Monday morning. Those deals were launched Monday after filing terms with the SEC, where the traffic  looked like I-95 just ahead of a holiday weekend.  The flurry of filings on Monday morning expanded the IPO Calendar from its lineup of 10 deals (including one SPAC) at the market’s close on Friday, July 9th.

Rapid Micro Biosystems, a provider of microbial quality control for drug manufacturing, was among the new faces on this week’s IPO Calendar.

Rapid Micro Biosystems (RPID proposed), based in Lowell, Massachusetts, upsized its IPO at pricing on Wednesday night to 7.92 million shares, up from 6.6 million shares, at $20 – the top of its $18-to-$20 range. The deal raised $158.4 million. The stock is expected to start trading Thursday on the NASDAQ. J.P. Morgan, Morgan Stanley, Cowen and Stifel were the joint book-runners of the Rapid Micro Biosystems IPO.

Rapid Micro Biosystems provides an automated microbial quality control (MQC) platform to help ensure faster, more accurate and safer manufacturing of drugs, vaccines, biologics, cell and gene therapies and sterile injectables.

Sera Prognostics (SERA proposed) priced its IPO on Wednesday night at $16 – the mid-point of its $15-to-$17 price range – on just 4.7 million shares, the same number of shares in the prospectus. The deal raised $75 million. The stock is set to start trading Thursday on the NASDAQ. Citigroup, Cowen and William Blair are the joint book-runners.

This small company, based in Salt Lake City, Utah, is developing its first commercial product, the PreTRM test, which it describes as the only broadly validated and commercially available blood-based biomarker test to accurately predict the risk of a premature delivery, also known as a preterm birth.

Worth noting: Sera Prognostics has a collaboration with Anthem, Inc., the nation’s second-largest health insurer, with more than 43 million members.

A micro-SPAC – TradeUP Acquisition (UPTDU proposed) – was priced Wednesday night. The deal had been floating around in the wings for quite awhile. This is a tech-focused SPAC. The IPO consisted of just 4 million units, priced at $10 each, to trade on the NASDAQ. Tiger Brokers, EF Hutton and R.F. Lafferty & Co. are the joint book-runners.

A clean energy SPAC – CleanTech Acquisition (CLAQU) – also was priced Wednesday night in sync with its recently downsized terms: 15 million units at $10 each to raise $150 million. Chardan was the sole book-runner. 

Healthcare IPOs Coming Thursday Night 

Stevanato Group S.p.A. (STVN proposed), based in Padua, Italy, is offering 40 million shares at $21 to $24 each. The IPO is set for pricing Thursday night. The stock is expected to start trading Friday on the New York Stock Exchange. This IPO is the week’s biggest deal, in terms of estimated proceeds; it would raise $900 million, if priced at the mid-point of its range.

Morgan Stanley, BofA Securities and Jefferies are the joint book-runners.

The Stevanato IPO has stirred fairly healthy interest from healthcare investors and retail investors alike. Founded in 1949, Stevanato makes glass containers for drugs, vaccines, biologics and sterile injectables.

Imago BioSciences, Inc. (IMGO proposed) is topping some biotech investors’ shopping lists. This is  a San Francisco biopharma company whose lead drug candidate is in clinical trials to treat patients with cancer of the bone marrow. This is a modest deal – only 7 million shares at $14 to $16. Jefferies, Cowen, Stifel and Guggenheim Securities are the joint book-runners.

The other four healthcare IPOs set for pricing Thursday night, to trade Friday, July 16th, are:

Dynacure S.A. (DYCU proposed) – a French biotech developing an orphan drug to treat rare genetic disorders involving severe muscle weakness – is offering 6.3 million shares at $15 to $17. J.P. Morgan, BofA Securities and Wells Fargo Securities are the joint book-runners.

Erasca (ERAS proposed) – a San Diego biopharma developing cancer-fighting drugs – is offering 17.5 million shares at $14 to $16. J.P. Morgan, Morgan Stanley, BofA Securities, Evercore ISI and Guggenheim Securities are the joint book-runners.

Perspectum Group plc (SCAN proposed) – a British life sciences company whose flagship AI-driven product is LIverMultiScan, which is designed to diagnose and monitor severe liver disorders, including NASH – is offering 4.7 million shares at $15 to $17. Citigroup, Barclays, Stifel and Canaccord Genuity are the joint book-runners.

TScan Therapeutics (TCRX proposed) – a Waltham, Massachusetts-based cancer biotech developing T-Cell therapies for leukemia, and stem-cell transplant patients – is offering 6.3 million shares at $15 to $17. Morgan Stanley, Jefferies, Cowen and Barclays are the joint book-runners.

One more deal – a micro-cap IPO by HCW Biologics (HCWB proposed), a pancreatic cancer-focused biotech – might get priced on Thursday night. EF Hutton is the sole book-runner of the HCW Biologics IPO, which consists of just 5.6 million shares at $8 to $10. This is a NASDAQ listing.

Money Makes the World Go ‘Round

The financial services sector is also represented this week by  Blend Labs (BLND proposed), a cloud-based mortgage lending platform whose IPO is pricing Thursday night, as well as by Bridge Investment Group Holdings (BRDG proposed), a real estate investment manager on tap for pricing Thursday night. (The Bridge deal looks like a REIT, but it’s not one.)

Blend Labs is an IPO of 20 million shares at $16 to $18. Goldman SAchs, Allen & Co. and Wells Fargo Securities are the joint book-runners.

Bridge Investment Group Holdings, which invests in multifamily housing and office properties, among other things, is offering 18.8 million shares at $15 to $17. Morgan Stanley, J.P. Morgan, Citigroup, Wells Fargo Securities and UBS Investment Bank are the joint book-runners of the Bridge Investment deal.

Priced on Monday 

One SPAC, Good Works II Acquisition Corp. (GWIIU),, was priced Monday morning – and started trading Monday on the NASDAQ. I-Bankers Securities was the sole book-runner for the Good Works II deal.

One micro-cap healthcare IPO, Unicycive Therapeutics (UNCY), was priced Monday night (July 12, 2021): 5 million units at $5 each. The deal, a carryover from recent weeks, started trading on the NASDAQ on Tuesday. Roth Capital Partners was the sole book-runner.

Unicycive Therapeutics, based in Los Altos, California, is a biotech company focused on developing therapies to treat chronic kidney disease and acute kidney injury.

A healthcare-focused SPAC – Arya Sciences Acquisition Corp. V (ARYE proposed) – priced its IPO on Monday night (July 12, 2021). The deal consisted of 130 million Class A ordinary shares at $10 each to raise $130 million. (Most SPAC IPOs are unit offerings.) The stock started trading Tuesday on the NASDAQ. Jefferies and Goldman Sachs were the joint book-runners.

Arya Sciences Acquisition Corp. V, based in New York, will search for target businesses in the life sciences or medical technology sectors.

Priced on Tuesday 

A tiny Israeli medical device company – Inspira Technologies Oxy B.H.N. Ltd. (IINN) – priced its IPO, a micro-cap unit offering of only 2.9 million units at $5.51, on Tuesday night. This IPO had been in the wind for quite awhile. Aegis Capital Corp. was the sole book-runner. The shares and the warrants started trading Wednesday on the NASDAQ.

A life sciences SPAC – JATT Acquisition (JATT.U) – also was priced on Tuesday night. This was a SPAC IPO of 12 million units at $10. The stock and the warrants started trading Wednesday on the New York Stock Exchange. Raymond James was the sole book-runner.

Big Build-Up for Next Week

A total of 15 deals are on tap so far for the week of July 19th. Seven names popped onto next week’s IPO Calendar on Monday morning (July 12, 2021), after filing terms with the U.S. Securities and Exchange Commission. By late Monday afternoon, another IPO – Ryan Specialty Group Holdings – filed terms and joined the pricing schedule for the week of July 19th. By Thursday morning, 15 deals had been scheduled for next week.

Software is the predominant sector next week. It’s quite likely that more names will land on next week’s IPO Calendar as the filings keep flowing in at the SEC.

Stay tuned.

(Editor’s Note: This column was updated early Thursday morning with the pricing of eight IPOs on Wednesday evening, including Sight Sciences and seven other deals. More coverage of this week’s healthcare IPOs was also included in the update.)

**For an overview of the IPOs expected this week, please see our IPO Calendar

**Please click on the hyperlinks in each company’s name to go to the IPO Profile and a link to the prospectus.

(Never trade on proposed symbols. You might wind up owning something on the OTC Bulletin Board.)

Disclosure: Nobody on the staff has a position in any stocks mentioned above, nor do they trade or invest in IPOs. The staff does not issue advice, recommendations or opinions.

Disclaimer: A SCOOP Rating (Wall Street Consensus of Opening-day Premiums), is a general consensus taken, at press time, from Wall Street and investment professionals concerning how well an IPO might perform when it starts trading. The SCOOP Rating does not reflect the opinions of anyone associated with The SCOOP ratings should not be taken as investment advice. The rating merely reflects the opinion of the professionals at the time of publication and is subject to last-minute changes due to market conditions, changes in a specific offering and other factors, such as changes in the proposed offering terms and the shifting of investor interest in the IPO. The information offered is taken from sources we believe to be reliable, but we cannot guarantee the accuracy.