The IPO Buzz: Hot Summer in the Clouds

One has only to look over one’s shoulder into May to see cloud-computing IPOs have been the darlings of the new-issue world:

This brings us to the present and the IPO calendar for the week of June 10. It is a short list of just three deals, but they are expected to raise almost $1.2 billion:

Gigamon is a Milpitas, California-based provider of intelligent Traffic Visibility solutions for enterprises, data centers and service providers. The company has about 825 customers from the retail, banking, telecom and healthcare industries. Recently the company introduced its first offering for virtualized and cloud-based applications called GigaVUE-VM. Gigamon was formed in 2004. It has about 288 employees.

 

Gigamon plans to price 6.75 million shares at $18 to $20 each on Tuesday evening to trade Wednesday morning on the New York Stock Exchange under the proposed symbol “GIMO.” The company is offering 4.5 million shares and selling shareholders are offering 2.25 million shares. Gigamon expects to have about 29.5 million shares outstanding after the offering. The joint-lead managers are Goldman Sachs, BofA Merrill Lynch and Credit Suisse. The co-managers are Barclays and Raymond James.

 

 

Aratana Therapeutics is a Kansas City, Kansas-based development-stage biopharmaceutical company focusing on the licensing, development and commercialization of innovative prescription medications for pets, or pet therapeutics. The company was formed in 2012. It has about 12 employees.

 

Aratana plans to price 4.25 million shares at $11 to $13 each on Wednesday evening. The IPO is expected to start trading Thursday morning on the NASDAQ Global Market under the proposed symbol “PETX.” The company is offering all the shares in this underwriting. The joint-lead managers are Stifel and Lazard Capital Markets. The co-managers are William Blair, JMP Securities and Craig-Hallum Capital Group.

 

Coty is a New York City-based cosmetic company founded in Paris in 1904. The company competes in Fragrances, Color Cosmetics and Skin & Body Care. Its top 10 brands, which are referred to as “power brands,” include brand names such as adidas, Calvin Klein, Chloé, Davidoff, Marc Jacobs, OPI, philosophy, Playboy, Rimmel and Sally Hansen.

 

Coty plans to price 57.1 million shares of Class A Common Stock at $16.50 to $18.50 each on Wednesday evening to trade Thursday morning on the New York Stock Exchange under the proposed symbol “COTY.”

 

Coty is offering all the shares in the underwriting. It expects to have about 372.2 million shares of Class A Common Stock and Class B Common Stock outstanding after the offering. There will be 72.2 million shares of Class A Common Stock with one vote each and 310.6 million shares of Class B Common Stock with 10 votes each.

 

The joint-lead managers are BofA Merrill Lynch, J.P. Morgan, Morgan Stanley, Barclays, Deutsche Bank Securities and Wells Fargo Securities The co-managers are Lazard Capital Markets, Piper Jaffray, RBC Capital Markets, BNP PARIBAS, Credit Agricole CIB, HSBC, ING, Moelis, RBS, Sanford C. Bernstein, Santander, Ramirez, Telsey Advisory Group and The Williams Capital Group.

 

This brings us to next week. At press time, there were four IPOs on the calendar for the week of June 17. They expect to raise about $3.7 billion. That figure could easily expand. In today’s IPO market, the calendar can fill up quickly.

 

Stay tuned.