Last week was a bust for initial public offerings (IPOs), with all three scheduled deals either postponing or withdrawing as market activity cratered later in the week. However, new filing activity picked up pace for an anticipated December blow-out, led by long-awaited delivery service unicorn DoorDash. Notably, Airbnb did not disclose its IPO filing last week as expected, but the home rental company still remains on track to go public in December.
DoorDash, an online restaurant delivery service in over 3,000 cities across the U.S., Canada and Australia, filed to raise $100 million in its debut. However, that amount is likely a placeholder, with the company having the potential to raise up to $2 billion in December. DoorDash's main rivals include GrubHub (GRUB ) and Uber Eats (UBER ), both of which are up 52% and 60% for their respective year-to-dates.
IPO market activity is increasing for the week ahead as companies price ahead of the U.S. Thanksgiving holiday. Six IPOs are set to raise about $3.6 billion this week.
Maravai LifeSciences Holdings (MRVI ) plans to raise $1.3 billion from 50 million offered shares priced between $24 to $27 each, making it the biggest deal for the week ahead. The company provides products that enable the development of drugs, diagnostics, vaccines, and support research for human diseases. Maravai has benefitted from the coronavirus pandemic and services more than 5,000 customers. The company's biggest rival Thermo Fisher Scientific (TMO ) is currently up more than 50% for its year-to-date.
Sotera Health Co. (SHC ) is a providers of sterilization, testing, and advisory services for research labs in the medical device and pharmaceutical industries, planning to raise $1 billion from 46.6 million shares offered in the range of $20 to $23 each. The company currently services over 40 of the top 50 medical device companies and 8 of the top 10 global pharmaceutical companies by revenue.
Yatsen Holding (YSG ) plans to raise $558 million from 58.8 million shares offered between $8.50 to $10.50 each. The Chinese cosmetics company competes in Chinas constantly evolving beauty market, operating primarily under the brands Abby's Choice, Little Ondine, and The Perfect Diary. Together those brands serves23.5 million direct-to-consumer customers in the first nine months of 2020 and have producing a year-to-year sales growth of 377%. Major competitors including L'Oreal (LRLCF ) and Esteé Lauder (EL ) are both up 19% and 24% for their respective year-to-dates.
Aspire Real Estate Investors Inc (ASPI ) plans to raise $300 million from 15 million offered shares set at $20 each. The company also plans to raise $27 million in concurrent private placements to senior management and other investors, intending to pay a dividend. This REIT is focuses affordable and workforce multifamily properties, with its initial portfolio including six projects located in Opportunity Zones.
Telos Corporation (TLS ) plans to raise $210 million from pricing 12.4 million offered shares within the range of $16 to $18 each. The cybersecurity solutions provider offers a portfolio of security products and services, with notable customers including the U.S. federal government, and businesses like Amazon (AMZN ), Citigroup (C ), Microsoft (MSFT ) and Salesforce (CRM ). The company's biggest rival ManTech International (MANT ) is currently down about 3% for its year-to-date.
Olema Pharmaceuticals (OLMA ) is a biotech that is focused on the discovery, development and commercialization of targeted therapies for women's cancers. Olema plans to raise $170 million from 10 million offered shares at a price range of $16 to $18 each. The company's lead candidate is currently in Phase I/II clinical trials in breast cancer patients, with initial data expected in the second half of 2021.
NeoGames S.A. (NGMS ) is an online lottery and gaming technology and services provider planning to raise $72 million from offering 4.8 million shares at a price range of $14 to $16 in its debut. The company is fast growing, and its customer base is expanding at a rapid rate, with monthly active users growing 70% year-over-year for the first nine months of 2020. Major competitors to NeoGames include International Game Technology (IGT ) and Scientific Games (SGMS ) are down 29% and up 28% for their respective year-to-dates.
