This Week's IPOs Part II: Masimo Corp., MercadoLibre, NanoDynamics, Paragon Shipping, Quicksilver Gas Services

This is a big week for IPOs. Five more on tap for this week include: Masimo Corp. (MASI) a medical technology company that develops non-invasive patient monitoring devices; MercadoLibre (MELI), the largest Latin American online trading platform; NanoDynamics (NDMX), a developer of products, advanced materials and process technologies for the clean tech market; Paragon Shipping (PRGN), a provider of drybulk shipping services based in the Marshall Islands; and Quicksilver Gas Services (KGS) a limited partnership that provides midstream services to producers in the Fort Worth Basin.

All quotations are from the companies' most recent S-1 filings with links provided.

MASIMO CORPORATION (MASI)
Business Overview (from prospectus)

We are a global medical technology company that develops, manufactures and markets non-invasive patient monitoring products that improve patient care. We invented Masimo Signal Extraction Technology, or Masimo SET, which provides the capabilities of Read-Through Motion and Low Perfusion pulse oximetry to address the primary limitations of conventional pulse oximetry. Pulse oximetry is the non-invasive measurement of the oxygen saturation level of arterial blood, or the blood that delivers oxygen to the body’s tissues, and pulse rate. Our Masimo SET platform has significantly addressed many of the previous technology limitations. The benefits of Masimo SET have been validated in over 100 independent clinical and laboratory studies.

Offering: 11.9 million shares. at $16.00 - $18.00 per share. Net proceeds of approximately $20.2 million will be used for capital expenditures, sales and marketing activities, research and development activities and for working capital and general corporate purposes.

Lead Underwriters: Piper Jaffray, Deutsche Bank, Citi

Financial Highlights:

Total revenue increased $116.4 million, or 107.9%, to $224.3 million for the year ended December 31, 2006 from $107.9 million for the year ended December 31, 2005... Cost of goods sold increased 44.3% to $61.6 million for the year ended December 31, 2006, from $42.7 million for the year ended December 31, 2005. Our gross margin increased to 72.5% for the year ended December 31, 2006, from 60.4% for the year ended December 31, 2005... Research and development expenses increased 191.0% to $24.9 million for the year ended December 31, 2006, from $8.5 million for the year ended December 31, 2005.

MERCADOLIBRE, INC. (MELI)
Business Overview (from prospectus )

We host the largest online trading platform in Latin America, called MercadoLibre and located at www.mercadolibre.com. We are market leaders in e-commerce in each of Argentina, Brazil, Chile, Colombia, Ecuador, Mexico, Peru, Uruguay and Venezuela, based on unique visitors and page views during 2006. Additionally, we have recently launched online trading platforms in Costa Rica, the Dominican Republic and Panama. With a market of over 550 million people and a region with one of the world’s fastest-growing Internet penetration rates, we provide buyers and sellers a robust online trading environment that fosters the development of a large and growing e-commerce community. We offer a technological and commercial solution that addresses the distinctive cultural and geographic challenges of operating an online trading platform in Latin America.

Offering: 16.1 million shares at $16.00 - $18.00 per share. Net proceeds of approximately $40.6 million will be used to repay an outstanding loan from eBay and for general corporate purposes.

Lead Underwriters: J.P. Morgan, Merrill Lynch

Financial Highlights:

Net revenues were $52.1 million for 2006, an increase of $23.8 million, or 84.3%, from net revenues of $28.2 million for 2005... Cost of net revenues was $12.1 million for 2006, an increase of $5.9 million, or 96.9%, from cost of net revenues of $6.1 million for 2005... Sales and marketing expenses were $23.4 million for 2006, an increase of $8.6 million, or 58.6%, from $14.7 million for 2005... Our general and administrative expenses were $8.2 million for 2006, an increase of $3.8 million, or 86.1%, from general and administrative expenses of $4.4 million for 2005.

NANODYNAMICS (NDMX)
Business Overview (from prospectus)

We develop and market products, advanced materials and process technologies that provide clean technology solutions for today’s global challenges. We focus principally on the energy, environmental and infrastructure markets. We are capitalizing on the increasing demand for cleaner energy and water, and the emphasis on sustainable renewable resources. We are leveraging our extensive intellectual property portfolio and process and design engineering expertise to deliver value-added products, advanced materials and solutions to our customers in our targeted markets. We have multiple core products with near-term commercialization opportunities that we are pursuing through collaborative relationships with strategic partners and potential customers.

Offering: 6.6 million shares at $12.00 - $14.00 per share. Net proceeds of approximately $78.1 million will be used for capital equipment and expansion of manufacturing capabilities, for information technology systems, for research and development, sales and marketing activities and for general corporate purposes.

Lead Underwriters: Jefferies, Canaccord Adams

Financial Highlights:

Revenues for the year ended December 31, 2006 were $4.4 million, as compared to $3.3 million for the year ended December 31, 2005 representing an increase of $1.1 million, or 33%... Costs of revenues increased to $3.5 million for the year ended December 31, 2006 from $2.6 million for the year ended December 31, 2005... Research and development expenses increased to $8.8 million for the year ended December 31, 2006 from $5.6 million for the year ended December 31, 2005... Our net loss increased to $14.7 million for the year ended December 31, 2006 from a net loss of $10.3 million for the year ended December 31, 2005.

PARAGON SHIPPING (PRGN)
Business Overview (from prospectus)

We are Paragon Shipping Inc., a recently formed company incorporated in the Republic of the Marshall Islands in April 2006 to provide drybulk shipping services worldwide. We acquired our current fleet of three Handymax and three Panamax drybulk carriers, which we refer to as our initial fleet, in the fourth quarter of 2006 and the beginning of 2007. Accordingly, we have a limited history of operations.

Offering: 10.3 million shares at $16.00 - $18.00 per share. Net proceeds of approximately $162.5 million will be used to purchase three additional drybulk carriers and for general corporate purposes.

Lead Underwriters: UBS Investment Bank, Morgan Stanley

Financial Highlights:

Time charter revenues for the period from inception (April 26, 2006) through December 31, 2006 were $4,949,426 as a result of the delivery of four vessels.... Voyage expenses excluding commissions, which primarily consists of port, canal and fuel costs that are unique to a particular voyage which would otherwise be paid by the charterer under a time charter contract for the period from inception (April 26, 2006) through December 31, 2006, amounted to $18,970 and for the three months ended March 31, 2007 were $38,056... Net income for the period from inception (April 26, 2006) through December 31, 2006 was $461,764. Net income for the three months ended March 31, 2007 was $5,814,526.

QUICKSILVER GAS SERVICES LP (KGS)
Business Overview (from prospectus)

We are a growth-oriented limited partnership in the business of gathering and processing natural gas produced from the Barnett Shale geologic formation of the Fort Worth Basin in north Texas. We began operations in 2004 to provide these services to Quicksilver, which owns our general partner. During the first quarter of 2007, approximately 93% of our total gathering and processing volumes were comprised of natural gas owned or controlled by Quicksilver. We operate under fixed fee contracts, without taking title to the natural gas and associated natural gas liquids, or NGLs, that we gather, transport and process.

Offering: 5.0 million shares at $19.00 - $21.00 per share. Net proceeds of approximately $93.0 million will be distributed to Quicksilver, private investors and pay expenses associated with the offering, the company's revolving credit facility and formation transactions

Lead Underwriters: UBS Investment Bank, Goldman Sachs

Financial Highlights:

Total revenues increased $9.0 million, or 184%, to $13.9 million in 2006 from $4.9 million in 2005... Adjusted gross margin increased $3.3 million, or 150%, to $5.5 million in 2006 from $2.2 million in 2005... Operations and maintenance expense increased $5.1 million, or 213%, to $7.5 million in 2006 from $2.4 million in 2005... General and administrative expense increased $608,000 or 185%, to $937,000 in 2006 from $329,000 in 2005.