Six small deals began trading this past week, five of which met the criteria for our IPO stats. They were joined by one blank check IPO.
U Power (UCAR) downsized and priced at the low end to raise $15 million at a $315 million market cap. U Power started as a vehicle sourcing service provider in China, and in 2020, it also began developing automated battery-swapping stations under the UOTTA brand. The company is highly unprofitable and has limited operating history in an emerging market. U Power soared more than 600% in its debut, even reaching 11,500% intraday, but gave back most of its gains in the aftermarket to finish up 31%.
Three other Chinese issuers went public during the week. Advisory services provider Top KingWin (TCJH) and logistics services provider Jayud Global Logistics (JYD) both downsized and priced at the low end, and contractor WANG & LEE GROUP (WLGS) priced a full-sized deal as expected. Jayud climbed 26% in its Friday debut; the others finished below issue.
The week’s deals were rounded out by California-based oil and gas E&P Trio Petroleum (TPET) and, while not included below, early-stage miner U.S. GoldMining (USGO). Both finished below issue.
One SPAC priced this past week. Ares Management’s Ares Acquisition II (AACT.U) raised $450 million in the first blank check IPO of the second quarter. It is the second blank check to upsize its offering this year.
| 6 IPOs During the Week of April 17th, 2023 | |||||
|---|---|---|---|---|---|
| Issuer Business | Deal Size | Market Cap at IPO | Price vs. Midpoint | First Day Return | Return at 04/21 |
| U Power (UCAR) | $15M | $315M | -14% | +620% | +31% |
| Launching automated battery-swapping stations for electric vehicles in China. | |||||
| Jayud Global Logistics (JYD) | $5M | $85M | -11% | +26% | +26% |
| Cross-border logistics services provider in China. | |||||
| Ares Acquisition II (AACT.U) | $450M | $563M | 0% | +1% | +1% |
| Second blank check company formed by Ares Management. | |||||
| Top KingWin (TCJH) | $11M | $59M | -11% | +5% | -10% |
| Provides financing advisory and related services to SMEs in China. | |||||
| Trio Petroleum (TPET) | $6M | $70M | -14% | -24% | -20% |
| California-based oil and gas E&P. | |||||
| WANG & LEE GROUP (WLGS) | $8M | $75M | 25% | -38% | -37% |
| Provides design and contracting services to the construction industry in China. | |||||
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.
Three new issuers joined the pipeline. Mail order clothing company JP Outfitters (JPO) filed to raise $17 million, and Israeli 3D printing company XJet (XJET) filed to raise $8 million. Short-term rental operator reAlpha Tech (LPHA.RC) filed for a direct listing on the Nasdaq.
| 3 Filings During the Week of April 17th, 2023 | |||
|---|---|---|---|
| Issuer Business | Deal Size | Sector | Lead Underwriter |
| JP Outfitters (JPO) | $17M | Consumer Discretionary | Aegis Cap. |
| Sells clothing and accessories primarily through print catalogs. | |||
| XJet (XJET) | $8M | Industrials | Aegis Cap. |
| Makes and sells 3D printers for metal and ceramic end-use parts. | |||
| reAlpha Tech (LPHA.RC) | $0M | Real Estate | |
| Operates short-term rental properties and a related investment platform. | |||
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 4/20/2023, the Renaissance IPO Index was up 14.2% year-to-date, while the S&P 500 was up 8.1%. Renaissance Capital's IPO ETF (NYSE: IPO) tracks the index, and top ETF holdings include Snowflake (SNOW) and Airbnb (ABNB). The Renaissance International IPO Index was down 4.9% year-to-date, while the ACWX was up 9.3%. Renaissance Capital’s International IPO ETF (NYSE: IPOS) tracks the index, and top ETF holdings include Porsche and JD Health.
