Weekly Secondary Performance Report (7.21.17)

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This past week 12 secondary offerings came to market and IPO Boutique placed BUY ratings on 8 of them. In all, $1.25bn was raised by companies in the secondary market this week.

The average gain of IPO Boutique BUY rated offerings this week at first trade was 1.8%

The average gain of IPO Boutique Neutral rated offerings this week at first trade was -0.1%.

 

The last 20 IPO Boutique ‘BUY’ rated secondary offerings have produced an average gain of 2.46% at first trade and an average gain of 4.82% at the high of their first-day of trading.

This week saw a smaller number of follow-on offerings as Wall Street’s overall focus was on earnings announcements of many large S&P 500 companies. The week’s best deal was a biotech offering, Reata Pharmaceuticals (Nasdaq:RETA), underwritten by Jefferies, Leerink Partners, LLC and Stifel. ‘RETA’ opened 9.0% above the $31.00 price with a first trade of $34.00. IPO Boutique rated a BUY on this offering.

The largest offering this week was an upsized deal from Sarepta Therapeutics (Nasdaq: SRPT) which raised $325m. SRPT priced its offering at $42.50 and opened at $42.84 for a gain of 0.8% at first trade.

There is currently one offering on the schedule for next week, Eastside Distilling (Nasdaq: ESDI), which we currently have a Neutral rating.