Notes

Candygram August 31 – Deals Crowd September Starting Gate

The summer IPO hiatus will be brief this year and it’s clear from new filings that a heap of deals, especially in technology, are gearing up for September. There are no deals on the schedule this week as we head into Labor Day. Last week we covered the Palantir filing which is to be a…

Keep Reading

Parsing Palantir – Part I

Palantir (PLTR) has initiated its direct listing process and will trade on the NYSE. As we prepare for their “investor day” where they will present the investment case we can summarize some of the things we took away from the initial filing. On the Product Palantir is kind of a hybrid between a software company…

Keep Reading

Fathoming Online Real Estate (FTHM)

Online Real Estate Transactions If you haven’t noticed there is a boom going on in real estate. Part of it is COVID, part of it is low rates, part of it is the expectation of being able to do everything online. People are buying and selling homes online, in some cases with no physical visit….

Keep Reading

Candygram August 24 2020 – The Tesla of China

A couple of weeks ago we had the “Zillow of China” go public in the shape of KE Holdings (BEKE). This week we have an Chinese EV (electric vehicle) company on the schedule for this Wednesday night. Xpeng (XPEV) is planning a $1B IPO although insiders have “indicated an interest in purchasing” up to $500M of…

Keep Reading

IPO Candygram August 18, 2020 – No rest in August?

In terms of IPO aftermarket performance the market continues to love technology and healthcare. Last week we saw Duck Creek Technology (DCT) in InsurTech price way above the range at $27 and trade up to $40, KE Holdings (BEKE) which is a RealEstateTech company price above the range at $20 and close the week at…

Keep Reading

Candygram August 10 2020 – The Zillow of China

Last Week Last week was filled with more out-sized IPO gains from BigCommerce (BIGC), Oak Street Health (OSH), Acutus Medical (AFIB) and to a lesser extent Rocket Companies (RKT). For us Rocket was the real winner in our portfolio since it was priced low and opened quietly. It’s a rare chance to buy a substantial…

Keep Reading

Candygram August 3 2020 – BigCommerce Rocket and Rackspace

Last week our focus deal, Vital Farms (VITL) priced way above the range at $22 and settled in around $35 on Friday. It surged another few points yesterday to $42. We sold half above $40 and hold the balance. No matter what happens in November we’ll want eggs and butter. This week starts off with…

Keep Reading

Candygram – July 27 2020 Rackspace and Vital Farms

The IPO market continues the strong summer momentum this week with deals including Vertex (VERX) and Vital Farms (VITL). There are a total of nine deals on the calendar this week (two have not set a date for pricing yet but intend to try for this week.) In addition firms are setting terms and going…

Keep Reading

NKarta is an intriguing play on CAR NK cancer treatment

As a general rule we avoid individual cancer drugs, particularly those in the early stages of development. One of reasons is that they are often new drugs to be “in combination” with existing very expensive therapies. The benefits are often limited and apply to small subset of the cancer patient population. Although these have value,…

Keep Reading

Is it too late to squeeze Lemonade?

Demand for the Lemonade (LMND) IPO has been very strong. The company increased the price range from $23-26 to $26-28 but experienced IPO investors know they will be leaving money on the table and the shares are likely to open up sharply higher from the IPO price. Lemonade also fits into a broad theme of…

Keep Reading