A total of 32 companies entered the public market this past week, with the week's 7 IPOs joined by one direct listing and 24 SPACs.
In the largest US IPO of the year to date, Coupang (CPNG) upsized and priced above the upwardly revised range to raise $4.6 billion at a $62.9 billion market cap. The largest e-commerce player in Korea, Coupang nearly doubled revenue in 2020 and has expanded its margins in recent years. Coupang is unprofitable, and significant investments in fulfillment will weigh on cash flow in the near term. Coupang finished the week up 39%.
Online gaming platform Roblox (RBLX) completed the year's first direct listing, opening 43% above its reference price and beginning trading at $64.50 for an implied $41.8 billion market cap. Unprofitable with strong free cash flow, the company's growth has been accelerated by the pandemic. However, it relies on just 1% of players for all of its revenue. From its opening price, Roblox finished up 8%.
Pool equipment supplier Hayward Holdings (HAYW) priced at the low end to raise $685 million at a $4.1 billion market cap. The company is profitable and has generated strong and improving margins. Revenue growth has been inconsistent, though it accelerated in 2020 as COVID-19 accelerated interest in outdoor living spaces. Hayward finished flat.
IBD biotech Prometheus Biosciences (RXDX) further upsized and priced at the top of the upwardly revised range to raise $190 million at a $782 million market cap. Its lead candidate began a Phase 1a trial in healthy volunteers in December 2020, and is expected to start a Phase 2 trial in ulcerative colitis and a Phase 1b trial in Crohn's disease in the 3Q21, with data readouts in the 2H22. Prometheus finished up 33%.
Fabric and crafts retailer JOANN (JOAN) priced well below the range to
