Luisa BeltranDec. 8, 2020 6:36 pm ET
Airbnb is pricing its nearly $3 billion offering Wednesday and is scheduled to trade Thursday.LIONEL BONAVENTURE/AFP VIA GETTY IMAGES
DoorDash and Airbnb are headlining a big week for initial public offerings.
Ten traditional IPOs are expected to price their deals this week, raising roughly $8 billion, according to data from Dealogic. This includes Airbnb and DoorDash, which each boosted their offerings ahead of their listings.
The show of strength comes during a highflying time for the IPO market. So far in 2020, 397 IPOs have traded, raising nearly $145 billion as of Dec. 7, according to Dealogic. This is nearly double the 200 new issues that collected $58.8 billion for the same period in 2019, the research firm said. The biggest IPO in 2020 remains Pershing Square Tontine Holdings (ticker: PSTH), a $4 billion special purpose acquisition company headed by Bill Ackman.
While
Hydrofarm Holdings Group opened for trading and saw its shares rocket as much as 160%.
Hydrofarm stock (ticker: HYFM) opened at $46 and hit a high of $52. Shares closed Thursday at $51.99, up 160%.
The soaring performance comes after Hydrofarm raised $173 million late Wednesday. The company sold 8,666,667 shares at $20 each, above its expected price range. The pricing came after Hydrofarm boosted its range Wednesday to $17 to $18, up from its prior expectations of $14 to $16.
J.P. Morgan and Stifel are lead underwriters on the deal.
Founded in 1977, Hydrofarm distributes and makes hydroponics equipment and supplies, including indoor grow lights, sediment filters, flood tables and benches, as well as pots for growing smaller plants. Its products are used to grow and cultivate cannabis, flowers, fruits, plants, and vegetables, a prospectus said. Hydroponics refers to the farming of plants without soil, but often using artificial lighting, in a controlled indoor or
Tom Siebel s C3 ai raises $651 million in target-topping IPO - San Francisco Business Times bizjournals.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from bizjournals.com Daily Mail and Mail on Sunday newspapers.
DoorDash and Other Offerings Trigger Some Corrective Action Despite negative volatility, at this point it looks like a pause in the uptrend and not a major top.
Stocks suffered some corrective action on Wednesday as the high-momentum names suffered as DoorDash (DASH) and other IPOs and secondaries attracted the hot money. While the recent momentum and SPAC names saw a jump in negative volatility, DASH jumped nearly 80% from its offering price.
This market has been overdue for some sort of corrective action and the offerings provided a convenient excuse even if they didn t impact overall liquidity that much. The price action often determines what the headlines might be and in this case, it was quite easy to attribute the weak action to a combination of overbought technical conditions and big IPOs.