Even without many IPOs over the past few months, there has been plenty of action in this market, as a record number of companies has filed to go public. Now that the IPO window appears to be opening, it looks like a flurry of IPOs could be upon us. The market is changing; here’s what you need to know:
1. An astounding 13 IPOs are expected to come to market in the next two weeks – that’s a drastic change from what we saw in August and September.
2. Market volatility hasn’t disappeared, but recent IPOs – and not just Groupon’s – show that it is possible to go public in this market. Potential issuers might be emboldened by this.
3. Plenty of companies are still itching to go public. The pipeline in the US now has 209 companies, according to data from Renaissance Capital, and they’re looking to raise close to $50 bn in aggregate.
4. It isn’t just the issuers that want to go public. Bankers are eager for the window to open, too, as they have a lot of fees waiting to be realised.