IPO News and Updates

9/16/14


Tantech Holdings, a Chinese manufacturer of household bamboo charcoal products, submitted an initial filing and announced terms for its IPO on Tuesday. The Lishui City, China-based company plans to raise $8 million by offering 1.6 million shares at a price range of $4 to $6. At the midpoint of the proposed range, Tantech Holdings would command a market value of $108 million.

Founder, Chairman and CEO Zhengyu Wang will own a 93% post-IPO stake. All but 1.6 million shares are subject to a 180-day lock-up.

Tantech Holdings, which was founded in 2002 and booked $61 million in sales for the 12 months ended December 31, 2013, plans to list on the NASDAQ under the symbol TANH. Tantech Holdings initially filed confidentially on September 30, 2013. Newbridge Securities is the sole bookrunner on the deal.


Keywords: TANH

9/16/14


Civitas Solutions, which provides non-institutional care services for the developmentally disabled, raised $199 million by offering 11.7 million shares at $17, well below the $20 to $23 range. Civitas will list on the NYSE under the symbol CIVI. Barclays, BofA Merrill Lynch and UBS Investment Bank acted as joint bookrunners on the deal.


Keywords: CIVI

9/16/14


Proteon Therapeutics, a biotech developing a recombinant protein for patients undergoing surgery for kidney failure, filed on Tuesday with the SEC to raise up to $69 million in an initial public offering.

Proteon expects its lead product to enter Phase 3 trials in the 1H15, with results expected in 2017. In preparation for hemodialysis, a surgeon must often create an arteriovenous fistula (AVF) to provide vascular access. The company estimates there are 130,000 AVFs created in the US annually, yet these have a greater than 50% failure rate in the first year of placement, and a higher failure rate for radiocephalic AVFs, its initial indication. AVF failure can be restored with a balloon angioplasty, but Proteon claims that surgeons can apply drops of its recombinant human elastase, a type of protein, to prevent complications further on.

Primary shareholders include TVP Capital, Abingworth Bioventures, Prism Venture Partners, Skyline Venture Partners, Deerfield, Pharmstandard, Intersouth, MPM Capital and CEO Timothy Noyes.

Another recombinant protein maker, rEVO Biologics (RBIO), is set to price Tuesday night and begin trading on Wednesday. Two 2014 biotechs focused on kidney failure, Ardelyx (ARDX) and Concert Pharmaceuticals (CNCE), both trade below the IPO price.

The Waltham, MA-based company, which was founded in 2001 and booked n/a in sales for the 12 months ended June 30, 2014, plans to list on the NASDAQ under the symbol PRTO. Proteon Therapeutics initially filed confidentially on June 25, 2014. Stifel and JMP Securities are the joint bookrunners on the deal. No pricing terms were disclosed.


Keywords: PRTO, RBIO, Biotech

9/16/14


Live Oak Bancshares, which lends to small businesses in niche industries across the country, withdrew its plans for an initial public offering on Tuesday citing a successful private placement to institutional investors.

Live Oak originally filed for an $86 million IPO in April 2014. At the time of its filing, primary shareholders had included Chairman and CEO James Mahan, William Williams and Neil Underwood.

Unlike Live Oak, most bank IPOs this year have been regional. The group of 9 bank IPOs has averaged a 7% gain from the IPO price, underperforming the broader group. The year's largest finance IPO, Citizen's Financial Group (CFG), is expected to price next week in a deal that could raise over $3 billion.

The Wilmington, NC-based company was founded in 2008 and booked $58 million in revenue for the 12 months ended December 31, 2013. It hand planned to list on the NASDAQ under the symbol LOB. Keefe Bruyette Woods was set to be the sole bookrunner on the deal.


Keywords: LOB

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