The IPOX® Week

IPOX® PORTFOLIO HOLDINGS IN FOCUS: As Q3 earnings season comes to a close, the IPOX® 100 U.S. (ETF: FPX) was led by energy equipment manufacturer Shoals Technologies (SHLS US: +33.95%) and specialty insurance firm Ryan Specialty (RYAN US: +9.94%) which bounced back after dropping last week. The index’s laggards were led by crypto exchange Coinbase (COIN US: -21.23%) amid BofA’s downgrade in response to contagion fears after FTX’s bankruptcy. IPOX® Europe (ETF: FPXE) gainers included UK energy firm Drax (DRX LN: +13.68%) as analysts suggested that windfall tax concerns were “overdone”, while luxury car maker Porsche (P911 GR: +7.59%), latest addition to both IPOX® Europe (ETF: FPXE) and IPOX® International (ETF: FPXI), surged to a new post-IPO high (+30.06%). Furthermore, the IPOX® International (ETF: FPXI) was led by several Chinese firms, including social media app Kuaishou (1024 HK: +13.36%), which surged on news that the firm would join Hong Kong’s Hang Seng index. IPOX® International (ETF: FPXI) holding, Uruguayan payment service provider DLocal (DLO US: -43.86%) plunged on fraud allegations by investment research firm Muddy Waters.

GLOBAL IPO DEAL FLOW REVIEW AND OUTLOOK:8 sizable IPO started trading internationally last week, gaining +7.64% based on the difference between the final offer price and Friday’s close. Pharma company Acrivon Therapeutics (ACRV US: +26.24%) was the only sizable listing in the U.S. last week. China-listed firms Sunwoda (EV batteries, SWD SW: +4.58%) and GreatStar (tools, GSI SW: +14.68%) listed GDRs in Switzerland. South Korean engineering firm Yunsung F&C (372170 KS: +4.49%), Dubai district cooling firm Empower (EMPOWER UH: +1.50%), and Turkish renewables firm Alfa Solar Enerji (ALFAS TI: +32.99%) all gained. Saudi business services firm Perfect Presentation (2P AB: +0.00%) traded flat, while Japanese food subscription service Base Food (2936 JP: -23.38%) plunged.image

In light of the shortened U.S. trading week, at least 3 firms are expected to go public this week. Monday: Saudi telecommunication cables firm Riyadh Cables (RIYADHCA AB: $378m offer). Tuesday: Nevada-based manufacturer of lab-grown diamonds Adamas One (JEWL US: $36m offer). Thursday: Hong Kong listing of Shenzhen-based seller of refurbished electronics LX Technology (2436 HK: $59m offer).

Other news: 1) $1.8b IPO of MENA restaurant operator Americana, largest Saudi IPO this year, to dual list in UAE/KSA on Dec 6. 2) Saudi Wealth Fund mulls IPO of $5b oil & gas drilling firm ADES. 3) Thai pet food maker i-Tail kicks off $588m IPO, country’s second largest listing this year. 4) Vietnamese EV maker VinFast plans $1b U.S. IPO as soon as January. 5) Fintech unit of Chinese e-commerce giant JD.com plans to raise up to $2b in Hong Kong IPO by year-end. 6) China’s Sunshine Insurance gets approval to raise up to $1b in Hong Kong by month-end. 7) Nickel producer Lygend plans to take orders for $700m Hong Kong IPO this week. 8) $1.6b Boston catering firm ezCater mulls 2023 IPO. 9) Volkswagen in talks with pre-IPO investors for EV battery unit. 10) IPOX® Europe (ETF: FPXE) holding, French lottery group FDJ buys online horse race betting firm ZETurf for $181m.

THE IPOX® SPAC (SPAC):The Index of 50 companies trading at the pre- and post IPO stage declined -3.01% to -21.30% YTD last week. IPOX® SPAC Leaders recording big moves last week included Africa-based agribusiness company Forafric (AFRI US: +5.20%) and space-based cellular broadband network provider AST SpaceMobile (ASTS US: -25.25%) which plunged after reporting a large quarterly loss. Other SPAC news from last week: 1) 7 SPACs Announced Merger Agreement include TLG Acquisition One Corp (TLGA US: -0.05%) with home solar battery storage and management company Electriq Power. 2) 5 SPACs Approved or Completed Business Combination include Tiga Acquisition with LGBTQ+ community-focused dating app Grindr (GRND US: +247.29%). 3) 2 SPACs opted to liquidate include G&P Acquisition (GAPA US: $10.17/share) and ION Acquisition Corp 3 (IACC US: $10.08). 4) No new SPAC launched last week in the U.S.