International IPO Index: International markets traded down again this week, as the International IPO Index fell -2.4%, and the MSCI ACWI declined -0.6%. Indonesian geothermal energy producer Pertamina Geothermal Energy traded up +10.7% to take the top spot, while Norwegian robotics firm AutoStore Holdings fell -11.1% to take the bottom spot.
Unlike in the US, many international IPO markets have had a downbeat 2023, with the Int’l IPO Index off about 20% year-to-date. We’re encouraged by recent activity in the pipeline, but investors will need to see positive aftermarket returns before we get a robust recovery in listings.
Big Development: Germany's IPO market suffered a setback after gearbox maker Renk pulled its planned $410mm IPO just hours before it was set to debut, citing market conditions. The prior week's big Frankfurt IPO, SCHOTT Pharma, has so far held up.
Latest Listings: Indian port operator JSW Infrastructure ($350mm) traded up +44%. In Seoul, industrial robotics provider Doosan Robotics ($320mm) soared +99%. Greek bank Optima Bank ($160mm) priced the biggest Athens IPO in 16 years at the high end, and traded flat. Chinese investment firm Tian Tu Capital ($140mm) priced near the low end in Hong Kong, and tumbled -25%.
The Week Ahead: Two notable listings in the coming week. Indonesian geothermal power utility Barito Renewables ($200mm) will trade in Jakarta after pricing at the high end. France’s first IPO of the year, project management software provider Planisware ($270mm) is set to price and trade. In addition, Omani gas pipeline company OQ Gas Networks ($750mm) is scheduled to price ahead of a listing later this month. China A-share activity will also resume after a holiday paused it this week.
The Pipeline: After pricing at the high end, Saudi logistics firm SAL ($680mm) will probably begin trading later this month. News reports confirmed global private equity firm CVC Capital Partners is moving ahead with its Amsterdam listing next month. Emirati real estate developer SEE Holding is hiring banks for a listing. In India, Oyo Hotels & Rooms is restructuring its debt ahead of a long-awaited IPO, and Tata Technologies revised its prospectus. IPO activity could return to Russia, as leading bank Sovcombank is mulling a listing.
Take care,
-Matt Kennedy, Senior Strategist
-Angelo Bochanis, Data Analyst
|
Biggest price changes through
Oct 6th
in the
Renaissance International IPO Index
|
||
|---|---|---|
| Top 5 | ||
| Pertamina Geothermal Energy | PGEO.IJ | 10.7% |
| Zhejiang Leapmotor Technology | 9863.HK | 9.2% |
| Amman Mineral Internasional | AMMN.IJ | 5.9% |
| Nordnet | SAVE.SS | 5.7% |
| Blue Moon Group Holdings | 6993.HK | 4.6% |
| Bottom 5 | ||
| AutoStore Holdings | AUTO.NO | -11.1% |
| Allegro.eu | ALE.PW | -10.8% |
| Trimegah Bangun Persada | NCKL.IJ | -9.7% |
| Thai Life Insurance | TLI.TB | -9.2% |
| Pepco Group | PCO.PW | -8.7% |
| Sectors | ||
| Utilities | 2.7% | |
| Consumer Staples | 0.1% | |
| Real Estate | 0.0% | |
| Financials | -1.3% | |
| Energy | -1.5% | |
| Consumer Discretionary | -2.1% | |
| Technology | -2.9% | |
| Health Care | -3.0% | |
| Materials | -3.2% | |
| Industrials | -4.7% | |
Renaissance International IPO ETF (NYSE symbol: IPOS) tracks the Renaissance International IPO Index
The Renaissance International IPO Index returned -2.4% last week vs. -0.6% for the iShares MSCI ACWI ex U.S. ETF.
