Welcome back: High-profile US IPO listings return in 2023 after 18-month hiatus

Klaviyo

29/12/2023 17:12

** Newly-listed U.S. stocks of 2023 Arm Holdings  ARM.O ,
Instacart  CART.O  and Klaviyo Inc  KVYO.N  have steadied after
volatile post-debut trading that saw all three dip below their
offer prices, sparking concerns of lackluster investor demand 
    ** IPOs in the U.S. saw a nascent recovery this year as
investors' risk appetite improved and market volatility eased
but analysts and bankers have warned companies will need to
lower their valuation expectations 
    ** Chip designer Arm's shares have surged ~47% YTD, above
its offer price of $51 on the Nasdaq in what was this year's
biggest IPO in mid-September with a $65 billion valuation 
    ** Grocery delivery app Instacart has sunk ~22%, including
session's move, below its offer price, while marketing
automation firm Klaviyo has fallen 7%
    ** Meanwhile, German sandal maker Birkenstock  BIRK.N  which
had an underwhelming Wall Street debut, underlining caution over
new listings in times of high interest rates, has also gained
~6.3% YTD, including session's move
    ** In a bright spot, shares of Mediterranean restaurant
chain Cava  CAVA.N  were up about 89%, after opening nearly
double the IPO price at $42 apiece on the NYSE in June
    ** Looking ahead, social media giant Reddit, cloud security
company Rubrik and software startup ServiceTitan are among the
marquee names expected to go public next year
    
 Company        IPO Offer  First trade    Last         Performan
                Price      (Debut)        closing      ce YTD vs
                                          price        offer
                                                       price  
 Arm            $51        $56.10         $77.47       51.9%
 Instacart      $30        $42            $23.84       -20.5%
 Birkenstock    $46        $41            $49.5        7.6%
 Klaviyo        $30        $36.75         $28.16       -6.1%
 Cava           $22        $42            $44.63       102.9%
 
 
  
    

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U.S. IPO market sees sparks of promise in 2023    https://tmsnrt.rs/3TImYhE
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 (Reporting by Savyata Mishra and Manya Saini in Bengaluru)
 ((Savyata.Mishra@thomsonreuters.com))