This week promises to see the largest amount of money raised for Initial Public Offerings (IPOs) in 2019 so far. Visual discovery engine Pinterest, smoking good manufacturer and distributor Greenlane, videoconferencing company Zoom and specialty insurer Palomar Holdings, along with several other firms all announced IPOs, and are expected to raise an estimated US$2.5bn in proceeds, according to a report by Market Watch.
The largest of the four IPOs is likely to be Pinterest, which announced its offering’s pricing on April 17. The company is offering 75,000,000 shares of its Class A common stock, plus up to an additional 11,250,000 shares that the underwriters have the option to purchase at a price of $19 per share.
Pinterest is expected to generate in excess of $10bn from the IPO.
San Jose-based video conference software company Zoom priced its individual shares higher, announcing the sale of 20,869,565 shares of Class A common stock at a price to the public of $36.00 per share. 9,911,434 of the shares are being offered by Zoom and 10,958,131 of the shares are being offered by certain selling stockholders.
Kathleen Smith, Principal at Renaissance Capital, a provider of institutional research and IPO exchange-traded funds, said to Market Watch that “Zoom is growing at a 100% rate, it’s profitable and it has a business that is easy to understand. It’s a nice business model, and people apparently love the product.”
Greenlane Holdings Inc also began trading on the Nasdaq this week, under the ticker GNLN. The manufacturer and distributor of vaporizer products and consumable smoking supplies is offering approximately 6mn shares priced between $14 to $16 each. If successful, the IPO could see the company generate almost $100mn in revenue.
The launch of Greenlane on the Nasdaq has created excitement due to the company now being the closest thing to a US-based cannabis company listed on a US exchange.
Lastly, Market Watch reports that Palomar Holdings, a specialist insurance provider, has filed its own IPO, offering 5.6mn shares at prices ranging from $15 to $17 each. Also expected to take their companies public this week are Biotech Hookipa Pharma Inc, Turning Point Therapeutics, Brigham Minerals Inc and Brainsway Ltd.