This Week's IPOs Part I: Aecom Technology, Biodel, JMP Group

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Includes: ACM, ALBO, JMP
by: Abbi Adest

It's a moderately strong week for IPOs. Companies going public this week include: Aecom Technology (NYSE:ACM) a provider of architectural and engineering design services to the public and private sectors; Biodel Inc. (BIOD) a pharmaceutical company developing innovative treatments for diabetes; JMP Group (NYSE:JMP), boutique investment banking, brokerage and asset management firm based in San Francisco.

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

AECOM TECHNOLOGY CORPORATION (ACM)
Business Overview (from prospectus)

We are a leading global provider of professional technical and management support services to government and commercial clients on all seven continents. We provide planning, consulting, architectural and engineering design, and program and construction management services for a broad range of projects, including highways, airports, bridges, mass transit systems, government and commercial buildings, water and wastewater facilities and power transmission and distribution. We also provide facilities management, training, logistics and other support services, primarily for agencies of the United States government.

Offering: 35.2 million shares at $18.00 - $20.00 per share. Net proceeds of approximately $355.5 million will be used to repay debt, "to fund elections made by employee participants in our stock purchase plan to diversify their holdings of plan units in connection with this offering", and for general corporate purposes.

Lead Underwriters: Morgan Stanley, Merrill Lynch, UBS Investment Bank

Financial Highlights:

For fiscal 2006, revenue was $3.4 billion, an increase of $1.0 billion, or 42.8%, over fiscal 2005...For fiscal 2006, cost of revenue, net of other direct costs was $993.9 million, an increase of $208.8 million, or 26.6%, over fiscal 2005...Gross profit was $905.8 million in fiscal 2006, an increase of $228.3 million, or 33.7% over fiscal 2005... [N}et income of $53.7 million in fiscal 2006, as compared to net income of $53.8 million in fiscal 2005.

BIODEL INC. (BIOD)
Business Overview (from prospectus)

We are a specialty pharmaceutical company focused on the development and commercialization of innovative treatments for endocrine disorders such as diabetes and osteoporosis, which may be safer, more effective and convenient. We develop our product candidates by applying our proprietary formulation technologies to existing drugs in order to improve their therapeutic results. We have two insulin product candidates currently in clinical trials for the treatment of diabetes:

Offering: 5.0 million shares at $14.00 - $16.00 per share. Net proceeds of approximately $68.0 million will be used to fund clinical development of the VIAject and VIAtab products and further R&D, working capital and general corporate purposes.

Lead Underwriters: Morgan Stanley, Leerink Swann & Company

Financial Highlights:

We did not recognize any revenue during the years ended September 30, 2006 or 2005...Research and development expenses were $6.0 million for the year ended September 30, 2006, an increase of $3.3 million, or 124.6%, from $2.7 million for the year ended September 30, 2005...Net loss applicable to common stockholders was $8.7 million, or $(1.62) per share, for the year ended September 30, 2006 compared to $3.4 million, or $(0.64) per share, for the year ended September 30, 2005.


JMP GROUP (JMP)

Business Overview (from prospectus)

We are a full-service investment banking and asset management firm headquartered in San Francisco. We have a diversified business model with a focus on small and middle-market companies and provide: investment banking services, including corporate finance, mergers and acquisitions and other strategic advisory services, to corporate clients; sales and trading and related brokerage services to institutional investors; proprietary equity research related to our six target industries; and asset management products and services to institutional investors, high net-worth individuals and for our own account.

Offering: 7.9 million shares at $10.50 - $12.50 per share. Net proceeds of approximately $61.7 million will be used general corporate purposes, including support of and expansion of the company's existing business lines.

Lead Underwriters: JMP Securities, Merrill Lynch, Keefe Bruyette Woods

Financial Highlights:

Total revenues decreased $7.9 million, or 8.3%, from $94.7 million for the year ended December 31, 2005 to $86.8 million for the year ended December 31, 2006...Total expenses decreased $7.7 million, or 8.5%, from $90.7 million for the year ended December 31, 2005 to $83.0 million for the year ended December 31, 2006...Net income decreased $0.5 million, or 13.6%, from $3.9 million for the year ended December 31, 2005, compared with $3.4 million for the year ended December 31, 2006.