The IPOX® Update 11/1/2024

U.S.

Cybersecurity firm Armis secures $200 million funding, boosting valuation to $4.6 billion

Armis, a cybersecurity firm based in the U.S., has successfully secured $200 million in funding, elevating its valuation to $4.6 billion. The funding round was led by General Catalyst and Alkeon Capital, with participation from Brookfield Technology and Georgian. This investment follows a year of preparations by Armis for an IPO, which the company anticipates launching in 2026. The funds will support product innovation and acquisition opportunities. Clients of Armis include United Airlines, Colgate-Palmolive, and Mondelez International, who use its services for risk management. The firm’s annual recurring revenue has surpassed $200 million, with an objective to reach $500 million. The capital raised in 2024 so far indicates a recovering IPO market in the U.S., outpacing 2023 totals (Relevant News Article)

zSpace, Inc., an augmented reality technology company based in the US, may raise $30m

zSpace, Inc., a U.S.-based augmented reality (AR) technology company, is preparing to raise $30 million through an IPO. The capital raised would be allocated to enhancing its AR educational solutions and expanding market penetration. The company has filed an amended registration statement reflecting updated details about its IPO, though the exact timing of the launch remains undisclosed. This funding initiative aims to boost zSpace’s product development efforts (Relevant News Article)

Circle, a stablecoin issuer, eyeing IPO plans despite delays, stating no immediate funding needs before going public

Circle, the issuer behind USDC, the second-largest stablecoin with a nearly $35 billion market cap, remains committed to pursuing IPO plans despite previous delays. The firm has no immediate requirement for additional funding before going public. Notably, Circle’s euro-backed stablecoin, EURC, has established itself as the largest euro-denominated stablecoin by supply. Legislative developments in digital asset regulations after upcoming elections could potentially impact Circle’s IPO and broader market dynamics (Relevant News Article)

Europe

Swedish buy-now-pay-later giant Klarna had its valuation raised by Chrysalis, could IPO in early 2025

Klarna, the Swedish buy-now-pay-later service, has seen its valuation raised by Chrysalis Investments Ltd to £120.6 million from £100.3 million. Chrysalis anticipates that Klarna may conduct an IPO within the first half of 2025. Analysts at Deutsche Bank estimate the company’s current valuation at approximately $14.6 billion. This follows a period where Klarna’s valuation shifted significantly, previously fluctuating between $40 billion and $8 billion. Notably, Klarna’s CEO has shown a preference for listing the company in New York over the London Stock Exchange, though the IPO's valuation could still be affected by market conditions (Relevant News Article)

Austrian cryptocurrency exchange Bitpanda considers IPO or sale options at $4 billion valuation

Bitpanda, a cryptocurrency exchange based in Austria and sponsor of FC Bayern Munich, is exploring options to go public or pursue a sale at a valuation of $4 billion. The company is working with Citigroup and JPMorgan Chase to evaluate its strategic alternatives. In the first quarter of 2024, Bitpanda reported over €100 million in revenue (approximately $108 million), highlighting its profitable operations (Relevant News Article)

Asia-Pacific

Lotte Global Logistics files preliminary IPO application to Korea Exchange targeting US$1bn

Lotte Global Logistics, a major logistics company, has submitted a preliminary application for an IPO on the Korea Exchange, aiming to raise approximately $1 billion. The firm operates across Asia, Oceania, Europe, and North America, with Lotte Holdings holding a 46% stake. The company has seen improved financial performance, with net income rising to $18.2 million in the first half of 2024 from $6.4 million the previous year. Korea Investment & Securities and Samsung Securities are underwriting the IPO, signaling the company’s strategic expansion in the logistics and shipping sector (Relevant News Article)

Jiangsu Guofu Hydrogen Energy Equipment is pre-marketing a Hong Kong IPO, targeting $50m

Jiangsu Guofu Hydrogen Energy Equipment, founded in 2016, is initiating pre-marketing for an IPO in Hong Kong, aiming to raise $50 million. The company specializes in hydrogen energy storage and transport solutions, serving clients in the fuel cell, vehicle manufacturing, and energy sectors. The pre-IPO efforts are backed by Haitong International Securities and Citic Securities. In early 2024, the company reported an adjusted net loss of Rmb65 million (~$9 million), widening from Rmb44 million a year earlier. The IPO is expected to bolster growth amid a rising demand for hydrogen energy solutions (Relevant News Article)

Life Water Bhd, a Sabah (East Malaysia, Borneo) beverage manufacturer, plans to raise approximately $56.56 million through its IPO

Life Water Bhd, a beverage manufacturer headquartered in Sabah, East Malaysia, aims to raise around $56.56 million through its IPO. The company intends to allocate about 84% of the proceeds for business expansion, including launching a new line of flavored drinks under the 'Mandak' brand. With an 11% market share, Life Water anticipates further growth fueled by increasing tourism in Sabah. The IPO is set to list on Bursa Malaysia on November 13, 2024, and the public application period for shares closes on October 30, 2024 (Relevant News Article)

MENA

UAE firm United International Holding Company (UIHC) sets IPO share price to raise $265m on Tadawul

United International Holding Company (UIHC), based in the UAE, has set its IPO share price as it targets raising up to $265 million on Tadawul. The institutional book-building period runs from October 28 to November 4, 2024, with final share pricing to be determined upon its completion. The IPO proceeds are intended to benefit United Electronics Company, the selling shareholder. Key investors, including Zamil Group and Tawuniya, have committed to participating in the share subscription (Relevant News Article)

Africa

South African retailer Pick n Pay is listing its discount grocery chain, Boxer, in Johannesburg

Pick n Pay, a major South African retailer, is proceeding with the IPO of its discount grocery chain, Boxer, in Johannesburg. This move is positioned as Africa’s largest IPO for the year, with an expected raise close to $452 million (8 billion rand) including an overallotment option. The proceeds will be utilized to reduce debt and stabilize losses in Pick n Pay’s core business. Boxer commands a 68% share of South Africa’s discount grocery market and operates 489 stores. The chain projects turnover growth between 10%-12% in 2025 and aims to double it over the next five years. Post-IPO, Boxer will secure up to 850 million rand in debt and access a 2 billion rand working capital facility (Relevant News Article)

Disclaimer: News summaries may contain mistakes. The information does not constitute financial advice, endorsement or recommendation and should not be considered as such.