With five IPOs scheduled to trade, this week might take Wall Street back to the good old days of 2007 – days when busy meant more than two IPO’s in six months, The WSJ reports.
The five companies are electric-car battery maker A123 Systems Inc., asset manager Artio Global Investors Inc., hospital operator Select Medical Holdings Corp., online vitamin retailer Vitacost.com Inc., and Chinese online computer-game company Shanda Games Ltd.
This is the highest number of listings in a week since May 2008. If all five get priced, it will be the most active week since December 2007. There were no IPOs in September and October last year, and only two were scheduled in the six months following labour Day.
But don’t get used to the torrid pace.
WSJ: Bankers say it is unrealistic to expect this level of issuance for the remainder of the year; most expect between 15 and 20 more offerings through the end of December, roughly the equivalent of what has priced so far in the first 8½ months of 2009.
“It is an anomaly in the near term. But I don’t think four to five IPOs a week is out of the realm of possibility once the market gets back to its groove,” says John Chirico, co-head of capital markets origination in the Americas at Citigroup Inc. “That could be our pace early next year.”