US IPO snapshot YTD = 01-Jan to 30-Sep-2015

Listings on NYSE and NASDAQ

The fourth quarter is expected to see an uptick in US IPO

activity as market conditions begin to stabilize, sector advisors
said. Companies will need to take a more modest approach to
valuations to entice investors after the volatility seen recently.
In 3Q15, IPOs raised US$ 4.8bn from 29 deals, significantly
below the colossal US$ 40.2bn raised in 3Q14, according to
Mergermarket data. Excluding the US$ 25bn raised by Alibabas
(NYSE:BABA) mega IPO in September 2014, there is still a
significant decline of around USD 10bn in 3Q15 from last year.

FY 2014
286
$86.9bn

YTD 2015
128 listings
$23.2bn

Companies that were ready to launch before Labor Day are now
re-evaluating their IPO timing as they reassess the valuation
they could receive. Companies will now have to offer wider IPO
discounts to their comparables to lure investors in 4Q. Investors
are now seeking a larger cushion to purchase the same stocks
they would have otherwise purchased at a higher price in a
more stable environment.

Offering size
change

IPO
count

FY 2008
32
$24.3bn

FY 2012
123
$39.7bn

FY 2010
158
$37.6bn

FY 2011
124
$33.2bn

FY 2013
208
$47.3bn
YTD 2015
128
$23.2bn

PE/VC-backed companies listing on NYSE/NASDAQ exchanges

YTD 2015
79 exits
13.5bn

vs. YTD 2014

38.3%

61.7%

q47 IPOs
q72.6%

Other

Country breakdown of global listings on NYSE/NASDAQ

Offering
size

q90 IPOs
q68.0%

FY 2009
55
$22.3bn

The apparent bump in IPO activity in summer with some

33 IPOs pricing in June, was thwarted by mid-August, when
the economic crisis in China led to a free fall in global stocks.
Coupled with the volatility that ensued and a Federal Reserve
interest rate decision that failed to calm anxious investors,
companies put their IPO plans on hold, creating a large backlog
of filings with the SEC.
The super-sized valuations of Q2 and early Q3 are not likely to
be visited in Q4, with all five IPOs in the first week of October
pricing below their proposed range.

vs. YTD 2014

PE exit via IPO

Average post-listing share price performance

YTD 2015

IPO count
change

USA

$21.0bn

q41.0%

102

q66

Belgium

571m

p419.1%

p2

Canada

$320m

q10.1%

p1

China

$250m

q99.1%

p5

Israel

$249m

q87.3%

q6

UK

$230m

q93.3%

q4

Other

$606m

q1.7%

p3

Total

$23.2bn

q68.0%

128

q65

YTD 2014

First day average return

18.7%

17.2%

One month average return

27.7%

19.2%

Equity indices (01-Jan to 23-Oct 2015)

Dow Jones q1.0%

NASDAQ Composite p6.4%

NYSEComposite q3.0%

S&P 500 p0.8%

Sector breakdown of NYSE/NASDAQ listings by IPO count

YTD 2015
Offering size
(US$m)

YTD 2014

IPO count

Share by IPO
count

Offering size
(US$m)

5,889

59

46.1%

2,846

17

5,952

Change

IPO count

Share by IPO
count

Offering size
(%)

IPO
count

6,328

87

39.9%

-6.9%

-28

13.3%

30,897

36

16.5%

-90.8%

-19

12

9.4%

9,870

23

10.6%

-39.7%

-11

1,085

11

8.6%

12,092

24

11.0%

-91.0%

-13

Other

7,418

29

22.7%

13,300

48

22.0%

-44.2%

-19

Total

23,190

128

100.0%

72,487

218

100.0%

-68.0%

-90

Sector

Pharme, Medical, Biotech

TMT

Energy, Mining & Utilities

Financial Services

Mergermarket/Dealreporter US IPO snapshot

www.Mergermarket.com - www.Dealreporter.com

US IPO snapshot YTD = 01-Jan to 30-Sep-2015

Top 10 listings of companies on NYSE/NASDAQ stock exchanges
Offer size
(US$m)

Pricing
date

Issuer

Market cap at
offer (US$m)

Price range
(US$ per share)

Offering price
(US$ per share)

Performance at
first day close
(%)

Performance
at first month
close (%)

1,384

06-May-15

Tallgrass Energy
GP LP

4,740

24.00 - 27.00

29.00

9.5%

4.8%

1,238

05-Feb-15

Columbia Pipeline
Partners LP

2,315

19.00 - 21.00

23.00

16.5%

-32.4%

886

17-Jun-15

Univar Inc

3,035

20.00 - 22.00

22.00

15.5%

11.5%

841

17-Jun-15

Fitbit Inc

4,114

17.00 - 19.00

20.00

48.4%

135.9%

778

21-Jul-15

Blue Buffalo Pet

Products Inc

3,921

16.00 - 18.00

20.00

36.0%

30.4%

714

11-May-15

EQT GP Holdings LP

7,280

21.00 - 24.00

27.00

21.9%

18.8%

675

31-Jul-15

TerraForm Global
Inc

2,683

19.00 - 21.00

15.00

-6.7%

-35.1%

665

24-Jun-15

TransUnion
Intermediate
Holdings Inc

4,000

21.00 - 23.00

22.50

12.9%

10.4%

600

11-Feb-15

Inovalon Holdings
Inc

3,901

24.00 - 26.00

27.00

0.0%

2.2%

507

19-May-15

Black Knight
Financial Services
Inc

3,744

22.00 - 25.00

24.50

10.7%

22.9%

Contacts

Criteria
All data is based on priced corporate listings where a bookbuild process was
required. Excludes listing of funds, REITs, Special Purpose Acquisition Vehicles
and follow-on offerings.
Data correct as of 30-Sep-2015. Indeces correct as of 23-Oct-2015
YTD includes data from 01-Jan to 30-Sep-2015.
All values are in US$.
Based on announcement day of final offer price.

Chrissy Carney
+1 646 378 3118

Research
Analyst
Silvia Paparello
+44 20 3741 1291
Global research editor
Kirsty Wilson
+44 20 3741 1281

Private equity/VC exit via IPO

Based on listings of private equity/ VC backed companies, including either
full exit, partial exit or dilution.
Post-listing share price performance
Based on the closing price on the day of listing/one month post-listing.

Editorial
Antonita Madonna
+1 646 378 3114

Industry analysis
Based on the dominant sector of the issuer company.

Mergermarket/Dealreporter US IPO snapshot

PR

Deal submissions
Diana Isaacs
+1 646 378 3149

Commercial
Kurt Viehl
+1 212 390 7812

www.Mergermarket.com - www.Dealreporter.com