In the typically-slow month of August, nine IPOs raised $1.0 billion, joined by 31 SPACs. Only four of the nine offerings raised over $100 million. Activity was well below August 2020, which saw investors and bankers skip their vacations due to the pandemic. Five listings also postponed this past month amid poor IPO aftermarket returns and “IPO indigestion” after summer 2021’s relentless deal flow. The most active sector was technology, which accounted for one-third of deal flow. The month’s IPOs averaged a 34% return from offer, gaining 12% on the first day and continuing to trade up 18% in the aftermarket on average. 34 IPOs submitted initial filings – the biggest August for new filings in over 10 years – with most coming in the second half of the month in anticipation of the post-Labor Day IPO rush.
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