The IPO Buzz: Mid-Summer IPO Calm

Jul. 9.12 | About: ServiceNow (NOW)

July 4th spells holiday in the U.S. capital markets. Then Wall Street gets back to work the next day, if it is not on a weekend. But the IPO calendar has an extended vacation.

The IPO traffic can run up to a few days before the July 4th break and then bankers hang up the "vacation" sign on the window. It generally takes until mid-July before they take it down, according to the U.S. Securities and Exchange Commission filings. Having said that, let's go over the last decade or so.

The Latest Pre-July 4th Holiday Pricing:

On July 1, 2008, Energy Recovery (NASDAQ:ERII) priced its IPO of 14 million shares at $8.50 each. The IPO closed its opening day at $9.83 and closed on Friday July 6, 2012, at $2.36, DOWN 72.2 percent from its initial offering price. Based in San Leandro, California, Energy Recovery develops recovery devices used in the desalination of sea water.

The Latest Post-July 4th Holiday Pricing:

On July 29, 2009, PennyMac Mortgage Investment Trust (NYSE:PMT) priced its IPO of 16 million shares at $20 each. The IPO closed its opening day at $19.10 and closed on Friday, July 6, at $20.37, UP 1.9 percent from its initial offering price. Based in Moorpark, California, PennyMac is a specialty finance company investing primarily in residential mortgage loans and mortgage-related assets.

The Shortest Wait Between Pricings

In 2004, bankers had a seven-day IPO holiday. It ran from June 30 to July 7.

On June 30, 2004, WellCare Plans (NYSE:WCG) priced its IPO of 7.3 million shares at $17 each. It closed its opening day at $19.53 and closed on Friday, July 6, at $52.83, UP 210.8 percent from its initial offering price. Based in Tampa, Florida, Wellcare provides managed-care services under state government contracts to lower-income, elderly and disabled people covered by Medicare and Medicaid.

On July 7, 2004, Holly Energy Partners (NYSE:HEP) priced its IPO of 6.1 million shares at $22.25 each. It closed its opening day at $24.55 and closed on Friday, July 6, at $59.59, UP 151.6 percent from its initial offering price. Based in Dallas, Holly Energy operates a system of petroleum product and crude pipelines, storage tanks, distribution terminals and loading rack facilities in West Texas, New Mexico, Utah, Oklahoma, Wyoming, Kansas, Arizona, Idaho and Washington.

The Longest Wait Between Pricings

In 2009, bankers had a 30-day IPO holiday. It ran from June 30 to July 29.

On June 30, 2009, LogMeIn (NASDAQ:LOGM) priced its IPO of 6.7 million shares at $16 each. It closed its opening day at $20.02 and closed on Friday, July 6, at $31.26, UP 95.4 percent from its initial offering price. Based in Woburn, Massachusetts, LogMeIn provides cloud-based services for remote access, device management, data management, customer care and collaboration.

On July 29, 2009, PennyMac Mortgage Investment Trust (PMT) priced its IPO. (For details, please see above.)

Back to the Present

On June 28, 2012, ServiceNow (NYSE:NOW) priced its IPO of 11.7 million shares at $18 each. It closed its opening day at $24.60 and closed on Friday, July 6, at $25.84, UP 43.6 percent from its initial offering price. Based in San Diego, California, ServiceNow provides cloud-based services to automate IT operations.

The first post-July 4th pricing of 2012 had not yet been announced at press time. There have been media reports. But the answer will be found in the reliable source of all IPO information - the SEC filing window. Something could be posted as soon as Monday morning, July 9, 2012.

Stay tuned.

Disclosure: Neither the author nor anyone else on the IPOScoop.com staff has a position in any stocks mentioned, nor do they trade or invest in IPOs. The author and IPOScoop.com staff do not issue advice, recommendations or opinions.