Securities Regulation Daily Wrap Up, IPO TRACKER—Blank checks complete all of last week’s IPOs, (Oct 18, 2022)
Organizations Mentioned:5.11 ABR Corp. | Gores Holdings X, Inc. | Hudson Acquisition I. Corp. | Janover Inc. | Medlab Clinical Ltd. | NFT Gaming Co., Inc. | Rue Gilt Groupe, Inc. | SONDORS Inc. | Spring Valley Acquisition Corp. II. | TenX Keane Acquisition
A snapshot of the week’s IPO activity, including completed deals, new preliminary filings and IPO withdrawals.
All three of last week’s IPOs were completed by blank check companies (SIC 6770), a common sight in the IPO market this fall. SIC 6770 companies now account for six of the last seven new issues, and eight of the 15 deals completed since September 1. For the year, blank checks claim more than 50 percent of the market with 82 of the 160 IPOs completed to date. Aggregate proceeds for those 82 offerings are well over $11 billion, or about 64 percent of the total proceeds raised by new issues in 2022. The three SIC 6770 companies that made their public market debuts last week were Spring Valley Acquisition II, TenX Keane Acquisition, and Hudson Acquisition I.
New registrants. The week’s activity included four new registrations. Electric bike and motorcycle manufacturer SONDORS registered plans for a $26 million offering. After the IPO, SONDORS intends to consolidate by merging SONDORS Electric Bike and SONDORS Electric Car either into the company or into a subsidiary. The company recently raised $3.5 million in a private placement of senior secured notes. Medlab Clinical was the second Australian company to register in the U.S. in as many weeks. The company’s pharmaceutical delivery platform administers medicines using nanoparticles. Medlab, whose shares trade on the Australian Stock Exchange, is offering some purchasers the option to buy pre-funded warrants instead of ordinary shares. EF Hutton was hired as lead underwriter by new public registrants NFT Gaming and Janover. NFT Gaming, which recently reincorporated from Wyoming to Delaware, offers a digital gaming platform with proprietary and third-party games. Janover, which will be controlled by its CEO after the offering, operates a B2B marketplace that connects commercial property borrowers and lenders.
Withdrawals. Three companies withdrew their pending registration statements last week. All three—Gores Holdings X, Rue Gilt Groupe, and 5.11 ABR—initially registered in the fourth quarter of 2021. None of them filed any amendments prior to withdrawing.
The information reported in IPO Tracker is gathered using IPO Vital Signs, a Wolters Kluwer Regulatory U.S. database that includes all SEC registered IPOs, including REITs and those non-U.S. IPO filers seeking to list in the U.S. markets. IPO Vital Signs does not track closed-end funds, best efforts or non-underwritten deals, or IPO offerings for amounts less than $5 million.
Companies: Spring Valley Acquisition Corp. II.; TenX Keane Acquisition; Hudson Acquisition I. Corp.; SONDORS Inc.; Medlab Clinical Ltd.; Janover Inc.; NFT Gaming Co., Inc.; 5.11 ABR Corp.; Gores Holdings X, Inc.; Rue Gilt Groupe, Inc.
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