U.S. investors are gearing up for six initial public offerings this week, with four of them expected to exceed $100 million.
There were no IPOs in the U.S. last short week, and the announcement of six offerings at once gives the market hope for a rebound in activity in the segment, MarketWatch writes.
In particular, Korean restaurant chain Gen Restaurant Group will go public. The company hopes to raise about $33 million and repeat the success of the Cava Group Inc. chain specializing in Mediterranean cuisine, which floated shares in mid-June at $22 a share — and now its securities are worth $42.95.
Such a rapid rise in quotations was a clear positive signal for the restaurant sector, said Bill Smith, head of Renaissance Capital. Renaissance is the operator of exchange-traded funds that invest in IPOs and conducts industry research.
The company estimates there have been 46 equity offerings in the U.S. since the beginning of the year, totaling $7.6 billion – almost double the amount for the same period last year.
The biggest deal this week could be the IPO of Vesta Real Estate, a Mexican industrial property fund. The company plans to raise about $400 million and get a valuation in the neighborhood of $2.6 billion. The firm will trade on the New York Stock Exchange under the ticker “VTMX.”
Natural gas compression firm Kodiak Gas Services, which operates in leading shale plays in the U.S., wants to raise $353 million and expects a valuation of $1.7 billion.
Also planned this week is the IPO of Savers Blue Village, North America’s largest chain of thrift stores. The offering could be about $300 million, and the company will be valued at about $2.8 billion, according to Renaissance.
Fidelis Insurance Holdings, a Bermuda-registered reinsurance company, expects to raise $298 million at a valuation of $2.1 billion. In addition, a small IPO is planned by vinyl records, movie discs and consumer electronics distributor Alliance Entertainment Holding.
