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U.S. IPO Weekly Recap: Uber Rolls Into The IPO Calendar

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Includes: BCYC, DOYU, LK, PLTX, SQL, UBER, WORK
by: Renaissance Capital IPO Research
Summary

Uber is now on the IPO calendar.

Pricing the week of May 6, the most notable US unicorn plans to raise $8.5 billion at a diluted market cap of $85.7 billion.

Eight other companies also launched, ensuring an active May in the IPO market.

Uber (NYSE:UBER) is now on the IPO calendar. Pricing the week of May 6, the most notable US unicorn plans to raise $8.5 billion at a diluted market cap of $85.7 billion. After Lyft's (NASDAQ:LYFT) disappointing debut, Uber chose to set the midpoint of its range ($44-50) below its last private round. Even at the low end, it will be the third-largest US IPO by market cap.

Eight other companies also launched, ensuring an active May in the IPO market. Following Easter and Passover, just one company priced this past week, a SPAC.

1 IPO During the Week of April 22nd, 2019

Issuer
Business

Deal
Size

Market Cap
at IPO

Price vs.
Midpoint

First Day
Return

Return
at 04/26

Act II Global Acquisition (NASDAQ:ACTTU)

$261M

$324M

0%

+1%

+1%

Blank check company led by former Hain Celestial executives targeting "better-for-you" food and restaurant brands.

Several joined the pipeline with initial filings, most notably Slack Technologies (SK), which submitted paperwork for a direct listing that should value the company at more than $10 billion. High-growth Chinese companies Luckin Coffee (NASDAQ:LK) and DouYu International (NASDAQ:DOYU) also filed.

9 Filings During the Week of April 22nd, 2019

Issuer
Business

Deal
Size

Sector

Lead
Underwriter

Bicycle Therapeutics (NASDAQ:BCYC)

$86M

Health Care

Goldman

Phase 1 biotech developing novel oncology medicines based on bicyclic peptides.

GX Acquisition (NASDAQ:GXGXU)

$250M

SPAC

Cantor Fitz.

Blank check company led by the managing partners of Trimaran Capital Partners.

IDEAYA Biosciences (NASDAQ:IDYA)

$70M

Health Care

JP Morgan

Phase 1 biotech developing targeted immunotherapies for cancer.

Peloton Therapeutics (PLTX)

$115M

Health Care

JP Morgan

Phase 2 biotech developing small-molecule HIF-2a inhibitors to treat kidney cancer.

Proficient Alpha Acq. (NASDAQ:PAACU)

$100M

SPAC

I-Bankers

Blank check company targeting a financial services business in China.

Slack

$0M

Technology

Provides a workplace messaging application.

SeqLL (SQL)

$8M

Health Care

WallachBeth

Provides a genetic sequencing platform for researching the makeup of diseases.

DouYu International

$500M

Technology

Morgan Stanley

Tencent-backed live e-sports streaming platform.

Luckin Coffee

$250M

Consumer Discretionary

Credit Suisse

Chinese coffee retailer offering pick-up and delivery via a mobile app.

IPO Market Snapshot

The Renaissance IPO Indices are market cap weighted baskets of newly public companies. As of 4/25/19, the Renaissance IPO Index was up 32.3% year-to-date, while the S&P 500 had a gain of 17.5%. Renaissance Capital's IPO ETF (NYSE: IPO) tracks the index, and top ETF holdings include Elanco (NYSE:ELAN) and VICI Properties (OTC:VICI). The Renaissance International IPO Index was up 14.2% year-to-date, while the ACWX was up 12.8%. Renaissance Capital's International IPO ETF (NYSE: IPOS) tracks the index, and top ETF holdings include SoftBank and Xiaomi.

Editor's Note: The summary bullets for this article were chosen by Seeking Alpha editors.