To The Moon

Challenging conditions in the IPO market continued this past week, with only one IPO and two SPACs pricing. The pipeline was slightly more active, with a number of small IPOs and a few SPACs submitting initial filings.

Connectivity solutions provider Credo Technology downsized and priced at the low end to raise $200 million at a $1.5 billion market cap. Founded by three former Marvell employees, Credo Technology provides semiconductor solutions for optical and electrical Ethernet applications. Despite being highly reliant on large customers with volatile order patterns, the company saw triple digit product revenue growth in FY1H22.

Two SPACs went public this week, led by Latin American-focused LatAmGrowth SPAC(LATGU), which raised $130 million. This week we published anote on the sharp uptick in SPAC withdrawals.

Six IPOs submitted initial filings this week, all raising less than $100 million. "Zero trust" cybersecurity firm Appgate(APGT) led the way, filing to raise $75 million in an uplisting.Eleison Pharmaceuticals(ELSN), a Phase 3 biotech firm developing cancer therapies, filed to raise $42 million. Beijing-based business services firm U-BX Technology(UBXG) filed to raise $30 million.

Three SPACs submitted initial filings.Sound Point Acquisition I(SPCMU), targeting credit markets, filed to raise $200 million. Agtech-focused AXIOS Sustainable Growth Acquisition(AXACU) filed to raise $125 million.Lakeshore Acquisition II(LBBBU) filed to raise $60 million, in Bill Chen's second SPAC after Lakeshore I (LAAAU).