Rocket cleans its plate in Delivery Hero IPO 30 Jun 2017 Floating its food delivery offspring for 1 bln euros is a much needed success for the German tech investor. It sold the maximum number of shares at the top end of the price range. The only snag is that there’s not a great amount left on the table for outside investors.
Viewsroom: Blue Apron’s debut leaves bad taste 29 Jun 2017 The meal-kit delivery firm had an unappetizing IPO, barely opening above its much-reduced price of $10 a share. Investors are starting to wise up to fluffy concoctions with little meat. The more discerning environment will make it difficult for half-baked companies with high risk.
Blue Apron cut suggests investors have discernment 28 Jun 2017 After feasting on Snap's nutrition-free IPO, it's healthy to see potential owners forcing the meal-kit maker's price down a third. Blue Apron's numbers were unappetizing even before Amazon's Whole Foods deal. Palates with a more refined taste for risk may find it digestible.
Politics are a bar to faster AIB selldown 27 Jun 2017 Shares in the Irish bank rose 8 percent after a heavily oversubscribed IPO. The government - still the lender’s majority owner - may be tempted to rethink a self-imposed cap on how fast it can offload its remaining stake. But political wrangles make a speedy exit unlikely.
China’s latest logistics IPO is hard to unpack 27 Jun 2017 Alibaba-backed Best Inc could raise $1 bln in New York, a few months after a rival's disappointing debut. The loss-making group is faster-growing and more diverse. But the extra complexity could make this a hard sell for already-wary investors.
Hong Kong market is caught between two worlds 26 Jun 2017 Twenty years of Chinese listings have turned the ex-colony into a $3.7 trln market and a top IPO venue. But valuations are low. And while it has first-world regulations, it cannot effectively police rogue mainland firms. To clean up its act, Hong Kong will need more Chinese help.
IPO puts Altice USA’s best program behind it 22 Jun 2017 Bankers directed a flawless show for the public offering of the Dutch-based cable-TV company’s American business. Altice USA now trades at a higher multiple than Charter and Comcast yet has more onerous debt and no clear path to expand. Shareholders may want to change channels.
Blackstone may have to financially engineer itself 22 Jun 2017 The buyout shop's units are trading close to the $31 IPO price of exactly a decade ago. Even with dividends, Blackstone's owners have fared no better than if they'd bought the S&P 500. Getting anywhere near boss Steve Schwarzman's $100 price target probably requires big changes.
Saudi Aramco IPO is exercise in reverse valuation 22 Jun 2017 The oil producer is worth $2 trillion, say its owners. The question might not be whether that valuation is right, but what Aramco’s owners and bankers will have to do to get it. A Breakingviews calculator suggests this will be a stretch of reason.
Blue Apron’s $3.2 bln debut could be its best dish 19 Jun 2017 The meal-kit service is cooking up an IPO valuation of about three times sales. Despite hot growth, though, losses are rising and rivals, maybe including the Amazon-Whole Foods combo, will make profitable expansion tough. The spicy offering price could be as tasty as it gets.
Altice IPO offers new reason to dislike cable guy 13 Jun 2017 Entrepreneur Patrick Drahi is seeking a $23 bln valuation for his U.S. unit while giving investors almost no voice. With hefty debt and few assets to buy, it’s hard to see Altice achieving its grand ambitions. There are plenty of reasons to be a cord-never, financially speaking.
Ireland pitches AIB float with a dose of realism 13 Jun 2017 The Irish government will sell 25 percent of the nationalised lender for between 3.9 and 4.9 euros per share. The midpoint values the bank above domestic rivals but at a discount to European peers. That’s a fair reflection of its bad loan book and domestic economic risks.
Biotech IPO rejuvenates Hong Kong market 13 Jun 2017 Shares of WuXi Biologics, the city's biggest listing this year, popped as much as 39 pct on their debut. High earnings growth and a lack of exciting IPOs led to strong demand for the $511 mln deal. This is good news for a bourse keen to attract a new breed of entrepreneurs.
Earnings will be late dessert for Delivery Hero 6 Jun 2017 The Berlin-based food delivery startup is prepping a listing valuing it at around 4.5 bln euros. The loss-making group needs to double sales by 2019 to achieve the same valuation as rivals like Just Eat. Its fat war chest should help. But investors are in for a low-profit diet.
Chinese school IPOs require some serious homework 5 Jun 2017 Several school groups are going public in Hong Kong and New York. Catering to an emerging middle class that is obsessed with education sounds like a first-class idea. Given the legal grey areas in private education, however, prospective investors will need to swot up.
Blue Apron offers tasty food, nauseating numbers 2 Jun 2017 The meal-kit delivery firm that's going public serves up delicious meals and sales growth. But look closely at the ingredients. New-customer acquisition costs are surging, they're ordering less and competition is fierce. Like Groupon, the product is fine, the stock best avoided.
Chinese biotech IPO deserves potent price 2 Jun 2017 WuXi Biologics could raise over $500 mln in a hot Hong Kong debut. A value of up to 30 times 2018 earnings sounds high, especially given a novel business model. But earnings are soaring and the local bourse lacks exciting drug firms. Growth and scarcity is a powerful formula.
AIB’s IPO must balance politics and pragmatism 31 May 2017 Ireland plans to float 25 pct of the nationalised bank. A good result for the government would be a valuation similar to UK lender Lloyds. Similarities include low costs and strong market share. But AIB also has some things Lloyds doesn’t, like a bad loan ratio of 14 percent.
Ravenous investors wolf down fintech IPO scraps 26 May 2017 Financial software group Alfa Financial is floating in the biggest UK offering this year by company value. The pricing looked rich to start with, but investors have since bid it up even higher. Blame a general lack of big listings of late, especially for the fintech-enthused.
Universal Music spinoff could be a one-hit wonder 23 May 2017 Vivendi could float a stake in its music label, the French media group’s CEO has said. The growth of online streaming has revived the industry’s prospects, but the long-term economics are still shaky. An offering would say more about chair Vincent Bolloré’s empire-building.