US IPO Week Ahead: More Micro Caps Amid The IPO Market’s February Lull

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The IPO market has hit its February lull. Just two micro-cap holdovers are scheduled to price in the week ahead, though some small issuers and SPACs may join the calendar during the week.

Preclinical biotech Ocean Biomedical (OCEA) plans to raise $ 22 million at a $ 222 million market cap. The company’s preclinical pipeline includes various humanized mAbs for non-small cell lung cancer and glioblastoma multiforme, a small molecule for the treatment of Idiopathic Pulmonary Fibrosis, a malaria vaccine, and two malaria therapeutics.

Bedding fire Cariloha (ALOHA) plans to raise $ 20 million at a $ 122 million market cap. The company positions itself as an eco-friendly alternative to traditional fabrics, and largely reaches customers through partnerships with cruise lines.

Cariloha’s sales fell 30% in 2020 due to the pandemic, though it has since ramped up S&M initiatives in the DTC channel. The company cut its deal size by 33% on Friday.

US IPO Calendar

Issuer

Business

Deal Size

Market Cap

Price Range

Shares Filed

Top

Bookrunners

Cariloha (ALOHA)

Sandy, UT

$ 20M

$ 122M

$ 9- $ 11

2,000,000

Roth Cap.

Oppenheimer

Bamboo-based bedding, clothing, and bath goods brand.

Ocean Biomedical (OCEA)

Providence, RI

$ 22M

$ 222M

$ 10- $ 12

2,000,000

Roth Cap.

JonesTrading

Preclinical biotech developing therapies for cancer, infections, and other diseases.

Lock-up periods will be expiring for up to five companies in the week ahead.

IPO Market Snapshot

The Renaissance IPO Indices are market cap weighted baskets of newly public companies. As of 2/10/2022, the Renaissance IPO Index was down 15.4% year-to-date, while the S&P 500 was down 5.4%. Renaissance Capital’s IPO ETF (NYSEARCA: IPO) tracks the index, and top ETF holdings include Snowflake (NYSE: SNOW) and Uber Technologies (NYSE: UBER).

The Renaissance International IPO Index was down 9.2% year-to-date, while the ACWX was down 0.4%. Renaissance Capital’s International IPO ETF (NYSEARCA: IPOS) tracks the index, and top ETF holdings include Volvo Car Group (OTCPK: VOLAF) and Kuaishou (OTCPK: KUASF).

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Editor’s Note: The summary bullets for this article were chosen by Seeking Alpha editors.

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