Three IPOs raised $2.3 billion this past week, led by Dun & Bradstreet's (DNB) billion-dollar deal. All three IPOs upsized their deals and priced above the range.
Commercial data analytics provider Dun & Bradstreet (DNB) raised $1.7 billion at a $9 billion market cap. The long-standing company was taken private in February 2019 by a consortium led by FNF's Bill Foley for $6.1 billion, half the size of its EV at pricing. The overhauled management team is now attempting to accelerate the company's historically lackluster growth, though the company remains highly levered post-IPO. Dun & Bradstreet finished 23%.
Lemonade (LMND), an online self-serve renters and homeowners insurance platform, raised $319 million at a market cap of $1.7 billion. The company is fast-growing and highly unprofitable company saw a 144% increase in gross earned premiums in the 1Q20 and has shown the ability to win first-time insurance buyers. Lemonade finished 139%.
Accolade (ACCD), a healthcare benefits management platform for self-insured employers, raised $220 million at a market cap of $1.2 billion. Accolade's margins have been steadily improving, but the fast-growing company remains highly unprofitable. Accolade finished 35%.
Three SPACs also went public this past week. Goldman Sachs' second blank check company GS Acquisitions Holdings II (GSAH.U) raised $700 million, TMT-focused SPAC Capstar Special Purpose Acquisition (CPSR.U) raised $240 million, and EcoR1 Capital's biotech SPAC Panacea Acquisition (PANA.U) raised $125 million.
| 6 IPOs During the Week of June 29th, 2020 | |||||
|---|---|---|---|---|---|
| Issuer Business |
Deal Size |
Market Cap at IPO |
Price vs. Midpoint |
First Day Return |
Return at 07/03 |
| Lemonade (LMND) | $319M | $1,655M | 18% | +139% | +139% |
| Provides online self-serve renters and homeowners insurance. | |||||
| Accolade (ACCD) | $220M | $1,182M | 10% | +35% | +35% |
| Provides a healthcare benefits management platform for self-insured employers. | |||||
| Dun & Bradstreet (DNB) | $1,723M | $9,048M | 10% | +15% | +23% |
| Provides commercial data analytics services. | |||||
| GS Acquisition II (GSAH.U) | $700M | $875M | 0% | +5% | +5% |
| Second blank check company formed by Goldman Sachs. | |||||
| Capstar Acquisition (CPSR.U) | $240M | $290M | 0% | n/a | +0% |
| Blank check company formed by investment firm Capstar Partners. | |||||
| Panacea Acquisition (PANA.U) | $125M | $161M | 0% | n/a | +0% |
| Blank check company formed by EcoR1 Capital targeting the biotech industry. | |||||
Sign up for a free trial of our premium platform, IPO Pro. Follow us on Twitter (@IPOtweet) and register for our updates on the IPO market.
Ten IPOs and five SPACs submitted initial filings. Jamf (JAMF.RC), which provides workflow software for apple devices, filed for an estimated $300 million IPO. Environmental management and remediation service provider Montrose Environmental Group (MEG) filed to raise $160 million. Tax software platform Vertex (VERX) filed to raise $100 million. Biotechs Nurix Therapeutics (NRIX) and Annexon (ANNX) both filed to raise $100 million. Inozyme Pharma (INZY) filed to raise $86 million. Four micro-cap companies filed; Israeli pain relief biotech PainReform (PRFX) filed to raise $25 million, Chinese biomass energy producer CN Energy (CNEY) filed to raise $23 million, Phase 2 neurodevelopment biotech PaxMedica (PXMD) filed to raise $17 million, and pancreatic cancer biotech Sun BioPharma (SNBP) filed to raise $12 million.
Digital entertainment SPAC Ascendant Digital Acquisition (ACND.U) filed to raise $300 million, real estate SPAC Property Solutions Acquisitions (PSACU) filed to raise $200 million, healthcare SPAC Deerfield Healthcare Technology Acquisitions (DFHTU) filed to raise $125 million, travel SPAC GO Acquisition (GOAC.RC) filed to raise $500 million, and North American energy SPAC East Resources Acquisition (ERES.U) filed to raise $300 million.
| 15 Filings During the Week of June 29th, 2020 | |||
|---|---|---|---|
| Issuer Business |
Deal Size |
Sector | Lead Underwriter |
| Annexon (ANNX) | $100M | Health Care | JP Morgan |
| Phase 1 biotech developing therapies for complement-mediated disorders. | |||
| Ascendant Digital Acq. (ACND.U) | $300M | SPAC | UBS |
| Blank check company targeting an interactive digital entertainment business. | |||
| CN Energy (CNEY) | $23M | Utilities | Network 1 |
| Produces wood-based activated carbon and biomass energy. | |||
| East Resources Acq. (ERES.U) | $300M | SPAC | Wells Fargo |
| Blank check company formed by Terrence Pegula targeting the North American energy industry. | |||
| Inozyme Pharma (INZY) | $86M | Health Care | BofA |
| Preclinical biotech developing therapies for diseases of abnormal mineralization. | |||
| Nurix Therapeutics (NRIX) | $100M | Health Care | JP Morgan |
| Preclinical biotech developing small molecule therapies for cancer. | |||
| PaxMedica (PXMD) | $17M | Health Care | Benchmark |
| Phase 2 biotech developing therapies for neurodevelopmental disorders. | |||
| Property Solutions Acq. (PSACU) | $200M | SPAC | EarlyBird |
| Blank check company formed by Benchmark Real Estate Group targeting the real estate industry. | |||
| Sun BioPharma (SNBP) | $12M | Health Care | Craig-Hallum |
| Clinical-stage biotech developing small molecule therapies for pancreatic cancer. | |||
| Vertex (VERX) | $100M | Technology | Goldman |
| Provides comprehensive tax software for businesses. | |||
| Deerfield HealthTech Acq. (DFHTU) | $125M | SPAC | Deutsche Bank |
| Third healthcare-focused blank check company formed by Deerfield Management and Robert Barasch. | |||
| GO Acquisition (GOAC.RC) | $500M | SPAC | Credit Suisse |
| Blank check company formed by the founders of GLG Partners and Certares targeting the travel industry. | |||
| Jamf (JAMF.RC) | $300M | Technology | Goldman |
| Provides software for managing workflows across Apple devices. | |||
| Montrose Environmental (MEG) | $160M | Industrials | BofA |
| Provides environmental assessment, management, and remediation services. | |||
| PainReform (PRFX) | $25M | Health Care | Maxim |
| Phase 2 Israeli biotech developing therapies for post-operative pain relief. | |||
Sign up for a free trial of our premium platform, IPO Pro. Follow us on Twitter (@IPOtweet) and register for our updates on the IPO market.
IPO Market Snapshot
The Renaissance IPO Indices are market cap weighted baskets of newly public companies. As of 7/1/20, the Renaissance IPO Index was up 31.5% year-to-date, while the S&P 500 was down 3.6%. Renaissance Capital's IPO ETF (NYSE: IPO) tracks the index, and top ETF holdings include Zoom Video (ZM) and Uber (UBER). The Renaissance International IPO Index was up 16.8% year-to-date, while the ACWX was down 10.4%. Renaissance Capital’s International IPO ETF (NYSE: IPOS) tracks the index, and top ETF holdings include Meituan-Dianping and Xiaomi.
