There are now 116 IPOs on file, including an "active pipeline" of 46 companies that have submitted an initial or updated filing in the past 60 days. We've noted that this should be a slow December for IPOs, and highlight the most likely candidates for December offerings below.
Atlassian: The unicorn to watch
Australian software provider Atlassian (TEAM) is set to raise $350 million during the week of December 7. It stands out as one of the few upcoming IPOs that could generate enough excitement to sidestep valuation challenges based on its rare combination of scale ($102mm in 3Q sales), growth (+50%) and profitability (25% adj. EBITDA).
December IPOs: The short list
Fast-growing merchant acquirer TransFirst (TF) looks ready to launch as it aims to pay down its massive debt while taking advantage of a good year for public peers, similar to recent IPOs First Data (FDC) and Square (SQ). Other high-debt IPOs should expect investors to demand a sizable IPO discount if they decide to launch. Names that may entertain a possible December launch include Las Vegas-based Station Casinos (STN.RC) and tobacco products company Turning Point Brands (TPB). Two online lenders (one US/UK, one Chinese) also filed last month and could launch by year end: Elevate Credit (ELVT) and Yirendai (YRD).
| Most likely December IPOs based on November filing activity | ||||
| Atlassian (TEAM) |
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| Makes business enterprise software targeted at software developers. |
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| TransFirst (TF) |
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| Provides electronic payment processing to small and medium-sized businesses. |
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| Station Casinos (STN.RC) |
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| Operates 21 casino and entertainment properties in Las Vegas. |
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| Turning Point Brands (TPB) |
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| Sells tobacco products in the US under the Zig-Zag and Stoker's brands. |
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| Viventia Bio (VITA) |
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| Developing novel antibody drug conjugates for bladder and other cancers. |
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| Elevate Credit (ELVT) |
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| Provides loans and lines of credits to non-prime consumers. |
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| Yirendai (YRD) |
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| Chinese marketplace for peer-to-peer loans spun out of CreditEase. |
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| Source: IPO ETF manager Renaissance Capital |
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The data found in this post is an excerpt from Renaissance Capital's December 2015 IPO Preview, available only for subscribers of our institutional IPO research platform. Renaissance Capital manages two IPO-focused ETFs, which hold a market cap-weighted basket of recent initial public offerings from the US (NYSE: IPO) and internationally (NYSE: IPOS).
