The IPOX® Update 8/1/23

Birkenstock's Plans for a September IPO at $8 Billion Backed by L Catterton

The iconic German footwear brand Birkenstock is planning for a September initial public offering (IPO) with a $8 billion valuation. This decision comes after a 29% revenue rise last year, and the brand's increasing popularity due to recent collaborations with luxury fashion houses and a featured appearance in a Barbie movie. The private equity firm backing this move, L Catterton, is supported by the French luxury fashion conglomerate LVMH. Financial giants Goldman Sachs and JPMorgan Chase are involved in facilitating the potential US listing of Birkenstock. The brand, renowned for its sandals, continues to expand its production sites in Germany. A majority stake in Birkenstock is currently held by L Catterton and the family investment company of Bernard Arnault, the French billionaire business magnate and art collector. (Source)

Adlai Nortye Files for $115M US IPO

Adlai Nortye, a biopharmaceutical company specializing in the development of oncology drugs, has recently filed for a $115 million US initial public offering (IPO). The company, with operations in both the US and China, is primarily focused on the development of its lead product AN2025, currently in Phase 3 clinical trials. There is potential for the FDA market approval of AN2025 in the second half of 2024, with the possibility of an accelerated approval process. In support of this IPO, Japanese conglomerate Nippon Kayaku has agreed to purchase $40 million of Adlai Nortye shares concurrently with the IPO. Additionally, an unidentified investor has expressed interest in acquiring up to $50 million shares. The joint bookrunners for the IPO are Cantor Fitzgerald and CLSA. (Source)

Uber Reports Surprise Q2 Profits with $394M Net Income

IPOX® 100 U.S. top holding, ride-hailing firm Uber has reported a surprising Q2 net income of $394 million. The Q2 revenue of the company rose to $9.23 billion from $8.07 billion year-on-year, albeit missing analysts' expected $9.34 billion. The breakdown of the revenue includes $4.89 billion from mobility (up 38%), $3.06 billion from delivery (up 14%), and $1.28 billion from freight (down 30%). Gross bookings, which indicate the total value of all transactions, rose to $33.6 billion from $29.1 billion. Analysts now expect that Uber may sustain GAAP profits, potentially leading to its inclusion in the S&P 500. Uber's stocks climbed around 4% in early premarket trading. For the next quarter, Uber forecasts gross bookings to fall between $34-35 billion, and adjusted Ebitda between $975 million and $1.025 billion. (Source)

Spanish EV Maker QEV Technologies Set for Amsterdam IPO via SPAC Merger

QEV Technologies, a Spanish firm specializing in electric racing cars, is gearing up for an IPO in Amsterdam through a merger with a special purpose acquisition company (SPAC). The company is expected to achieve a valuation exceeding €200 million. QEV anticipates achieving breakeven within the coming year, and forecasts revenues of over €60 million for 2023. The firm plans to launch production of a new electric van next year in Barcelona. QEV has successfully secured €40 million in local and national government grants, and is set to gain an additional €23 million from the merger. The advisory firm AZ Capital is backing the SPAC. A shareholder vote on the deal is expected in September. (Source)

Hong Kong Eases IPO Rules for China-Related Risks

In a significant shift, the Hong Kong Exchanges & Clearing unit has abolished the rule mandating IPO candidates to disclose risks related to China. The defunct rule encompassed disclosure of China's political, legal, and economic perils. This transformation aligns with the China Securities Regulatory Commission's recent amendments to offshore listing rules. Chinese companies will no longer need to caution investors about disparities between mainland and Hong Kong legal and regulatory systems in their prospectus. This means that risks such as China's decelerating economic growth and litigation procedures will no longer be accentuated in IPO filings. (Source)