Duoyuan Global Water (DGW) - Began trading on 6/24 after pricing at $16 per share. The stock ran up to the mid-$20’s in the first week of trading and has held steady since. The company is a maker of water treatment equipment in China that includes wastewater treatment and water purification. One of my favorite long-term investment themes involves water and water-related stocks. The ties DGW has to China make the stock even more attractive because the country has major water issues and will have to address them in the years to come. The most recent Chinese stimulus package is actually going after upgrading infrastructure and will be a boost for DGW.

During the past week, two China pharma-related companies successfully completed their IPOs, ending a long drought of new offerings. Guilin Sanjin Pharmaceutical Co, a traditional Chinese medicine company, will make its debut on the Shenzhen exchange. On the New York Stock Exchange, chemical company Chemspec (CPC), which produces APIs as well as other specialty chemicals, listed its shares. Both issues received an enthusiastic welcome.

Guilin Sanjin priced its IPO at 19.8 RMB per share, on the high side of its projected 17-21 RMB range. Because of the price and an expanded offering size, the 46 million shares placed in the IPO will generate 911 million RMB, about 44% more than the original projection. At the IPO price, the price/earnings multiple for the offering is 33, a sufficiently high number to discourage some investors from participating. Others, however, were more than willing to take their place. Among other products, Guilin Sanjin makes Watermelon Frost lozenges.

by Brenon Daly

One of the investment banks that profited the most from Wednesday’s strong debut of LogMeIn (LOGM) wasn’t even on the prospectus. Instead, it was in the prospectus. McNamee Lawrence, an advisory shop with no underwriting business, realized a tidy little $2m windfall from the IPO.

Only five U.S. startup companies have gone public this year, down from 86 in 2007, according to data from the National Venture Capital Association, as related by Bloomberg.

Supply, then, is so thin, that today it drove a 25% stock price appreciation on the first day of one of those IPOs.

LogMeIn (LOGM), which offers on demand remote access software, goes public Wednesday at $16 a share and is getting a nice round of applause from the folks following the venture capital world. After all, LogMeIn raised $107.2 million or so in a stock market that stinks.

The Wall Street Journal says hats off to Integral Capital Partners, an investor in LogMeIn and OpenTable. Others see the LogMeIn IPO as one of those fabled economic “green shoots” everyone is looking for. And while we’re at it, let’s cheer for the underwriters too. Congrats J.P. Morgan, Barclays Capital, Thomas Weisel, Piper Jaffray and RBC Capital. Rest assured the buy ratings will appear in a few weeks from those aforementioned firms.

As markets trade higher to start off the week, underwriters for the new LogMeIn IPO are likely drumming up interest in the latest offering to hit Wall Street. The IPO market has been relatively slow over the past year as the bear market has reduced the amount of liquidity and made such offerings very difficult. But the spring rally has made it possible for several new stock offerings to come to market helping companies raise much needed cash for their businesses.

On the block for a possible offering this week is LogMeIn, Inc. (LOGM) which is the primary provider of on-demand remote-connectivity solutions to small and medium sized businesses as well as individual consumers. Essentially the technology allows users to log onto their home or office computers from any web browser, making sure that all data is easily accessible and yet still providing for secure connections in order to protect sensitive information. There are several tiers of service offered including a basic free service all the way up to deluxe premium products. As of March 31, the company boasted 188,000 premium accounts and continues to grow their subscriber base very quickly.

On June 16, Bill Simpson wrote an analysis of Duoyuan Global Water (DGW). In its market debut Wednesday, June 24, Duoyuan priced its ADRs for $16 and sold 5.5 million of them, raising $88 million. In a recent regulatory filing, Duoyuan had estimated it would price 5 million ADRs for between $13 and $15.

The text of Mr. Simpson's original writeup follows:

by Brenon Daly

With LogMeIn (LOGM) on the verge of pricing its IPO later today, the next ‘buyer’ of the company will be public market investors. The on-demand vendor will sell 6.7 million shares in an offering that’s being led by JPMorgan Chase (JPM) and Barclays Capital (BCS). LogMeIn set an initial range of $14-16 per share, implying a market capitalization of $300m-340m. It will likely price above that range, and we expect strong demand for LogMeIn shares once they start trading under the ticker ‘LOGM’ on the Nasdaq.

The Bloomberg US IPO index measures the performance of stocks during their first publicly traded year that IPOd with a market value of at least $50 million. Below we highlight the performance of the IPO index so far in 2009. As shown, it is up 29.47%, while the S&P 500 is up just 1.47%. Strong IPO performance is definitely much more indicative of a bull market than a bear market, and investors have been bidding up shares of recent IPOs by quite a bit.

Below the chart we provide a table of the Bloomberg IPO index members. The four that are up the most from their IPO prices are Bridgepoint Education (BPI), OpenTable (OPEN), Rosetta Stone (RST), and Duoyuan Global Water (DGW). Only 3 of the 14 index members are down from their IPO prices.

LogMeIn's (LOGM) expected IPO pricing on Tuesday has Wall Street and the tech blogosphere abuzz. The Massachusetts-based company provides remote-connectivity solutions to small and medium sized businesses and plans to trade on the NASDAQ.

Could a successful IPO cause some unintended consequences for tech M&A activity? According to Om Malik, "A LogMeIn offering could result in more technology mergers and acquisitions. The possibility of more IPOs may drive up prices for likely buyout candidates, giving buyers a much-needed impetus to loosen their purse strings and snap up likely candidates." Tech investors are advised to keep an eye on this IPO.

After six months of regulatory silence and $100 million in new funding, A123 Systems amended the SEC registration statement for its proposed IPO on June 23rd. While this latest filing may simply be A123's way of demonstrating its ability to raise matching funds for a scaled back ATVM loan request of $1 billion and pending applications for $438 million in direct Federal grants, my sense is that the proposed IPO will probably come to market in early September. Since ATVM loans will require 20% cost sharing and direct Federal grants will require 50% cost sharing, the IPO will probably be a good deal larger than the $175 million contemplated by A123's original filing.

I'm very interested in A123's IPO for several reasons. First, it will be underwritten by Morgan Stanley (MS), Goldman Sachs (GS), Merrill Lynch (MER) and Lazard, which will give us the first clear picture of how the top-tier investment banks and institutional investors value pure-play energy storage companies.

Duoyuan Global Water (DGW) had an impressive IPO yesterday. The company priced its shares above range at $16 but Duoyuan's ADRs actually started trading at $22.65. The China-based company is a leading supplier of domestic water treatment equipment.

Business Overview (from prospectus)

Chemspec International (CPC) wowed Wall St. yesterday by pricing at the top of its range at $9 per share. The China-based company is a contract manufacturer of specialty chemicals.

Business Overview (from prospectus)

1) Duoyuan Global Water Inc. - NYSE Listing (DGW)

What They Do:

We are a leading China-based domestic water treatment equipment supplier. Our product offerings focus on addressing the key steps in the water treatment process, such as filtration, water softening, water-sediment separation, aeration, disinfection and reverse osmosis. Founded in 1992, we offer a comprehensive set of more than 80 complementary products across the following three product categories:

The growth in China over the past 10 years or so has been staggering and despite a global economic crisis, the economy is still growing around 6% (so they say). With an attitude of growth at any cost and a mass migration to China cities, you have to assume that water pollution and scarcity could very well choke the economy in the coming years.

Guo Youzhi, general secretary of the China Desalination Association, said that only 20 percent of industrial wastewater in the country is efficiently re-utilized and 80 percent is being simply discharged.

There is an exciting IPO scheduled to trade the week of June 22nd. Duoyuan Global Water (DGW). The company is a provider of water treatment equipment in China. China has a water scarcity issue so this is one of the hottest sectors to me. Water and Air industry in China. By my calculations, DGW would have done approximately $1 EPS with the post-IPO share count for 2008. The IPO is expected to price at $13-$15 for a 13-15 p/e and I would guess this gaps open much higher. The problem with hot IPOs in many cases is they gap so high that the only people that make money are the people who were able to participate in the IPO shares. I think I found a much better stock.

RINO International Corporation (RINO.OB), through its direct and indirect subsidiaries, including Innomind Group Limited and Dalian Innomind Environment Engineering Co., Ltd., its contractually-controlled affiliate, Dalian RINO Environmental Engineering Science and Technology Co., Ltd. ("Dalian Rino") and Dalian Rino's wholly-owned subsidiaries, Dalian Rino Environmental Engineering Project Design Co., Ltd. and Dalian Rino Environmental Construction & Installation Project Co., Ltd., is a leading provider of environmental protection equipment for the iron and steel industry in China. Specifically, RINO designs, manufactures, installs and services proprietary and patented wastewater treatment, flue gas desulphurization equipment, and high temperature anti-oxidation systems, which are all designed to reduce either industrial pollution and/or improve energy utilization.

It's looking like the initial public offerings of Rosetta Stone Inc. (NYSE:RST) and Bridgepoint Education Inc. (NYSE:BPI) may well be the rays of light showing through the dam of backlogged venture-backed technology companies waiting to go out.

LogMeIn Inc. certainly hopes so, as it took the step of setting terms for a $100 million IPO in a regulatory filing Tuesday. The Woburn, Mass.-based company expects to offer 6.7 million shares at a price range of $14.00 to $16.00 during the week of June 29. The S-1 filing lists Prism Venture Partners (23.79%), Polaris Venture Partners (20.99%), Technologieholding Central and Eastern European Funds (15.83), Integral Capital Partners (8.91%) and Intel Capital (5.43%) as the largest stakeholders.

Two new recent REIT IPOs launched in June. Government Properties Income Trust (GOV) began trading earlier this month. The company priced 10 mm shares at $20.00 per share. The company is a subsidiary of HRPT Properties Trust, an office REIT based in Massachusetts. HRPT owns 49.9% of GOV.

GOV will focus on owning office properties leased to the US government. The company currently has 29 office properties with 3.3 million square feet. 25 of the company's properties are leased to the US government, and the remainder are leased to various state governments.

The PPIP is all but dead. But don't tell that to perma-CRE-bull Barry Sternlicht. The owner of such debacles as iStar (SFI) (last time we checked the all-time worst name in the IG11 index) and RevPar plummeting hotel chain Starwood hotels (HOT), is hoping to raise brand spanking new capital via an IPO for, of all things, a new REIT - Starwood Properties Trust, and use taxpayer money to buy other bankrupt hotels.

Over the weekend, Sternlicht's W hotel chain made headlines, but not for good reason. REIT Sunstone Hotel Investors (SHO) decided to simply walk away from Starwood's W property in San Diego, instead of servicing the $65 million in securitized mortgages. As the WSJ notes: