Canadian cannabis producer Sundial Growers was under pressure in its first trading day, while software company Dynatrace soared after opening at about twice the originally anticipated valuation.
Sundial Growers (SNDL) opened on August 1 at $13.01. The company had priced 11M shares at $13.00. The deal size was increased from 10M shares of common stock and priced below the $14.00-$16.00 target range. Cowen, BMO Capital and RBC Capital acted as joint book running managers for the offering. Sundial Growers is a Canadian cannabis producer that crafts cannabis brands under the monikers Heal, Help and Play.
Dynatrace (DT) opened on August 1 at $25.50. The company had priced 35.6M shares at $16.00, above the $13.00-$15.00 target range. Goldman Sachs, JPMorgan and Citi acted as joint book running managers for the offering. Dynatrace is a software company that helps businesses track the performance of their software applications.
In a research note ahead of the company's IPO, MKM Partners analyst Rohit Kulkarni said that while he was not making a recommendation or initiating coverage on the stock, he feels positive about Dynatrace's growing end markets, its ongoing transition from perpetual licensing to SaaS subscriptions, and the company"s "rare combination of growth, profitability, and visibility."
Kura Sushi (KRUS) opened on August 1 at $14.89. The company had priced 2.9M shares at $14.00, at the low end of its $14.00-$16.00 range. BMO Capital and Stephens acted as joint book running managers for the offering. Kura Sushi USA operates a chain of sushi restaurants in the U.S.
- Sundial Growers finished the week at $10.11.
- Dynatrace soared in its first trading day, finishing Thursday at $23.90.
- Kura Sushi opened 6.4% above its IPO price, before extending the gains in Thursday trading.
UPCOMING IPOS: Among the upcoming IPOs are Biovie and Inmode (INMD).
Biovie is a clinical-stage company focused on the development of BIV201, its novel treatment of ascites due to chronic liver cirrhosis.
InMode develops energy-based, minimally-invasive surgical aesthetic and medical treatment solutions.
Rapt Therapeutics (RAPT), a Phase 1 biotech developing therapies for cancer and inflammatory diseases, postponed its $75M IPO which had been expected to take place on Thursday.
"Opening Day" is The Fly's recurring series of stories on the latest initial public offerings, their performance, analyst commentary and upcoming IPOs.