US IPO Weekly Recap: No IPOs in the Short Week Amid Market Turmoil

Renaissance Capital2022-02-26

The IPO market was quiet this past week with no IPOs, though three SPACs priced. Pipeline activity picked up slightly as two IPOs and three SPACs submitted initial filings.

Typically companies wait to set terms until after the long Presidents’ Day weekend, once they have finalized full 2021 financials. However, rising volatility and market turmoil put a damper on post-holiday launches during the week.

Three SPACs came to market: GSR II Meteora Acquisition(GSRMU), which raised $275 million to target high-growth businesses; Clean Earth Acquisition(CLINU), which raised $200 million to target clean and renewable energy; andFG Merger(FGMCU), which raised $70 million to target financial services in North America.

Two IPOs submitted initial filings this past week. Video optimization firm Beemr(BMR) and community bank Hanover Bancorp(HNVR) both filed to raise $35 million.

Three SPACs submitted initial filings. Consumer-focused Haymaker Acquisition IV(HYIVU) filed to raise $261 million, Giant Oak Acquisition(GOSCU) filed to raise $100 million to target middle-market businesses, and Heroic Empire Acquisition(HEAU.RC) filed to raise $75 million, focusing on the biotech and TMT industries.

IPO Market Snapshot

The Renaissance IPO Indices are market cap weighted baskets of newly public companies. As of 2/24/2022, the Renaissance IPO Index was down 23.2% year-to-date, while the S&P 500 was down 9.8%. Renaissance Capital's IPO ETF (NYSE: IPO) tracks the index, and top ETF holdings include Uber Technologies (UBER) and Snowflake (SNOW). The Renaissance International IPO Index was down 19.3% year-to-date, while the ACWX was down 8.2%. Renaissance Capital’s International IPO ETF (NYSE: IPOS) tracks the index, and top ETF holdings include Volvo Car Group and Kuaishou.

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