IPOs break records never seen before

US IPOs are already raising almost eight times more than last year. Amidst a vast ocean of liquidity, ultra-accommodative conditions and euphoria, IPOs in the United States continue to experience a golden age. To date, the thirty or so companies that have plunged into the domestic capital markets through their respective IPOs have already raised more than 16.1 billion dollarsThe number of new clients is almost eight times the amount recorded at this time last year, according to Renaissance Capital data.

This increase of 624% only includes public sale transactions (IPOs) of entities with a market capitalization of more than US$50 million. It also does not include alternative forms of fundraising, such as Special Purpose Acquisition Companies (SPACs). These companies go public with the intention of raising funds to buy a company that will be listed on the New York Stock Exchange (NYSE) or the Nasdaq, the stock exchanges par excellence.

As far as traditional IPOs are concerned, to date, 30 companies have priced and started trading, 233% more than 2020 at this same time, just before the pandemic hit. The average performance of these thirty companies now stands at 40.5% vs. 2.6% for the S&P 500.

To be taken into account

The most important release so far in 2021 corresponds to Shoals Technologies Groupwhich raised 1.925 billion dollars. The biggest increase in its share price on the day of its IPO corresponds to RLX Technologywhich experienced a revaluation of 145.9%. The company with the best performance since its IPO is AffirmThe profitability of this operation amounts to 119.3%.

Journal: (The Economist ,2020) The Economist New York 4/02/2021 - 19:02. IPOs in the U.S. already raise almost eight times more than last year https://www.eleconomista.es/mercados-cotizaciones/noticias/11032693/02/21/Las-salidas-a-bolsa-en-EEUU-recaudan-ya-casi-ocho-veces-mas-que-el-ano-pasado.html