Updated Monday, 5/10.
Eight IPOs are slated to raise $1.6 billion in the week ahead, led by private mortgage insurance company Enact Holdings (ACT).
The largest deal of the week, Enact Holdings (ACT) plans to raise $497 million at a $3.6 billion market cap. Being spun out of Genworth Financial, Enact is a leading private mortgage insurance company in the US, with a 17% share of the market in 2020. The company saw a 60% increase in new insurance written during the year, though COVID-19 has caused higher delinquencies and losses.
Cross-border e-commerce platform Global-E Online (GLBE) plans to raise $360 million at a $4.0 billion market cap. The company states that it has built the world’s leading platform to enable and accelerate global, direct-to-consumer cross-border e-commerce. Fast growing and profitable in 2020, Global-E has over 400 merchants on its platform and currently supports transactions in over 200 markets worldwide.
Hearing care services provider hear.com (HCG) plans to raise $300 million at a $2.1 billion market cap. The company’s data-driven approach to hearing care enables them to deliver a personalized experience and respond to customer needs in real time. While its conversion rate fell slightly in the FY20, hear.com saw 25%+ increases in both appointments and total customer sales.
Brazilian customer experience platform Zenvia (ZENV) plans to raise $213 million at a $607 million market cap. The company’s software platform facilitated the flow of communication for more than 9,400 customers throughout Latin America as of December 31, 2020. While it achieved a standalone net revenue expansion rate of over 110%, Zenvia’s EBIT turned negative in 2020.
Israeli web analytics provider Similarweb (SMWB) plans to raise $160 million at a $1.7 billion market cap. The company has blue-chip customers across a variety of industries, and they include marketers, strategy teams, salespeople, analysts, and investors. Similarweb has demonstrated growth, though it remains small and unprofitable with widening losses.
Immunological disease biotech Vera Therapeutics (VERA) plans to raise $65 million at a $335 million market cap. Vera's lead candidate is atacicept, a fusion protein self-administered as a subcutaneous injection once weekly that blocks both B lymphocyte stimulator and a proliferation-inducing ligand. The company plans to initiate a Phase 2b trial of atacicept for IgA nephropathy in the 2Q21, with topline results expected in the 4Q22.
Online hydroponic equipment supplier iPower (IPW) plans to raise $24 million at a $202 million market cap. Fast growing and profitable, the company sells equipment that enables its customers to grow fruits, vegetables, flowers, and other plants, including cannabis, through its own website and third party retailers like Amazon, eBay, and Walmart.
Canadian cannabis products developer Flora Growth (FLGC) plans to raise $15 million at a $221 million market cap. Flora Growth cultivates and processes medical-grade cannabis oil and other cannabis derived products in Colombia. Flora Growth is highly unprofitable, and it just began generating revenues this past August.
| U.S. IPO Calendar | |||
|---|---|---|---|
| Issuer Business |
Deal Size Market Cap |
Price Range Shares Filed |
Top Bookrunners |
| Flora Growth (FLGC) Toronto, Canada |
$15M $221M |
$4 - $5 3,333,333 |
Boustead |
| Canadian developer of low-cost cannabis products in Colombia. | |||
| iPower (IPW) Duarte, CA |
$24M $202M |
$7 - $9 3,000,000 |
DA Davidson Roth Cap. |
| Online hydroponic equipment supplier. | |||
| Global-E Online (GLBE) Petah Tikva, Israel |
$360M $3,973M |
$23 - $25 15,000,000 |
Goldman Morgan Stanley |
| Provides a platform for cross-border e-commerce. | |||
| Similarweb (SMWB) Tel Aviv, Israel |
$160M $1,689M |
$19 - $21 8,000,000 |
JP Morgan Citi |
| Provides a freemium platform for website traffic analytics. | |||
| Enact Holdings (ACT) Raleigh, NC |
$497M $3,582M |
$20 - $24 22,576,140 |
JP Morgan Goldman |
| Private mortgage insurance company being spun out of Genworth Financial. | |||
| hear.com (HCG) Utrecht, Netherlands |
$300M $2,109M |
$17 - $20 16,220,000 |
Morgan Stanley JP Morgan |
| Hearing care services provider being spun out of WS Audiology. | |||
| Vera Therapeutics (VERA) South San Francisco, CA |
$65M $335M |
$14 - $16 4,350,000 |
Jefferies Cowen |
| Phase 2b biotech developing fusion proteins for immunological diseases. | |||
| Zenvia (ZENV) São Paulo, Brazil |
$213M $607M |
$15.50 - $17.50 12,909,091 |
Goldman Morgan Stanley |
| Provides a customer experience communications platform in Latin America. | |||
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IPO Market Snapshot
The Renaissance IPO Indices are market cap weighted baskets of newly public companies. As of 5/6/21, the Renaissance IPO Index was down 13.6% year-to-date, while the S&P 500 was up 11.9%. 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 down 4.4% year-to-date, while the ACWX was up 8.1%. Renaissance Capital’s International IPO ETF (NYSE: IPOS) tracks the index, and top ETF holdings include Kuaishou Technology and Nexi.
