Upsized is the word of the day. SilverBox Corp. III (SBXC.U) – the largest deal on this week’s IPO Calendar – upsized its SPAC IPO by 20 percent at pricing on Monday night (Feb. 27, 2023) to raise $120 million. Beamr Imaging Co., Ltd. (BRM) – the smallest deal on tap this week – increased the number of shares in its IPO by 39.3 percent at pricing on Monday night to raise $7.8 million, which was $300,000 more than under the terms in its prospectus. SilverBox III started trading today (Tuesday, Feb. 28, 2023) on the New York Stock Exchange – opening at $10.12, up 12 cents or up 1.2 percent from its $10.00 IPO price, and closing at $10.07, up 0.7 percent. Beamr Imaging’s stock opened today on the NASDAQ at $3.94 – down 6 cents or off 1.5 percent from its $4.00 IPO price. Beamr Imaging closed at $3.65, down 35 cents or off 8.75 percent from its IPO price.
The upsizing of both deals – big and small – may reflect a slight increase in IPO investors’ appetites after last week’s drought. No IPOs were priced during the four-day week after Presidents’ Day. And perhaps that was just as well. Rate-hike fears drove the major U.S. stock indexes down in the week of Feb. 20, 2023 – their worst week since December.
U.S. stocks finished Monday’s session with modest gains. That upswing provided a warming trend at least for the two IPOs priced after the close.
From Deep in the Heart of Texas
SilverBox III, based in Austin, Texas, priced 12.0 million units – up from 10.0 million units in the prospectus – at $10.00 each on Monday night (Feb. 27, 2023) to raise $120.0 million. Each unit consists of one share of stock and one-third of one redeemable warrant.
At pricing, SilverBox III became the seventh SPAC IPO priced so far in 2023.
Credit Suisse was the sole book-runner of the SilverBox III IPO.
SilverBox III intends to acquire one or more businesses with an aggregate enterprise value exceeding $750 million.
SilverBox Capital, an alternative investment manager, is backing SilverBox III. This SPAC is led by the same people whose other SPACs completed initial business combinations with Black Rifle Coffee Co.(BRCC/ BRCC WS) – approved by SilverBox I (SBEA) shareholders in early February 2022 – and Atlas Technical Consultants – approved by Boxwood Merger Corp. (BWMC) shareholders in February 2020.
Israeli Cloud Video Storage Innovator
Beamr Imaging priced 1.95 million shares – up from 1.4 million shares in the prospectus – at $4.00 – down from $5.00 in the prospectus – on Monday night (Feb. 27, 2023) to raise $7.8 million. Beamr Imaging’s IPO was among several micro-cap deals that had been pending NASDAQ approval following the regulator’s increased scrutiny of small-cap l istings last September. (In the week before pricing, Beamr’s IPO was cut in half – to 1.4 million shares from 3.0 million shares – and an insider selling element was added, SEC filings showed.)
ThinkEquity was the sole book-runner of Beamr Imaging’s IPO.
Beamr Imaging, based in Herzeliya, Israel, describes the company as “an innovator of video encoding, transcoding and optimization solutions that enable high quality performance and unmatched bitrate efficiency for video and images,” according to the prospectus. Beamr Imaging says it is collaborating with Nvidia on a new product.
“Our cloud video storage solutions enable our customers to save up to 50 percent on video storage costs,” Beamr Imaging says in the prospectus.
Beamr Imaging’s customers include Netflix, ViacomCBS and Wowza Media Systems, according to the prospectus.
The company isn’t profitable. Beamr Imaging had a net loss of $840,000 on revenue of $3.22 million for the 12 months that ended June 30, 2022.
As the sun rose today, there was no word yet on whether the $5.0 million public offering of Clean Energy Technologies, Inc. (CETY proposed) – a NASDAQ uplisting – was priced last night.
If all nine deals on this week’s IPO Calendar get priced, bankers will raise about $228.3 million.
The rest of this week’s IPO Calendar looks like an IPO variety show of small-cap deals – and most of those are in the micro-cap camp. Let’s take a look.
Cannabis Vaping & Ad Tech Platform IPOs Tonight
Two small-cap IPOs – a vaping company and a NASDAQ-affiliated ad tech platform – are expected to price tonight – Tuesday (Feb. 28, 2023) – to trade Wednesday on the NASDAQ:
- Ispire Technology (ISPR proposed) – An e-cigarettes and cannabis vaping hardware company based in Los Angeles – 6.0 million shares at $6.00 to $8.00 to raise $42.0 million, if priced at the $7.00 mid-point – U.S. Tiger Securities, TFI Securities and SPDB International are the joint book-runners.
- NYIAX, Inc. (NYX proposed) – A financial and advertising technology platform to buy, sell and trade ad contracts – developed under a joint patent held by NYIAX and a NASDAQ subsidiary – 1.85 million shares at $5.00 to raise $9.25 million – Boustead Securities and WestPark Capital are the joint book-runners.
Blockchain Chips & Solar Energy IPOs
A Chinese blockchain-focused chip maker and an Australian solar photovoltaic (PV) company may price their micro-cap IPOs during the week of Feb. 27, 2023, pending NASDAQ approval:
- Intchains Group Ltd. (ICG proposed) – Shanghai-based Intchains Group makes high-performance ASIC chips, as well as ancillary software and hardware, which cater to the blockchain industry. – 1.25 million American Depositary Shares (ADS) at $7.00 to $9.00 to raise $10.0 million – Maxim Group is the sole book-runner.
- SolarJuice, Ltd. (SJA proposed) – SolarJuice, based in Sydney, Australia, is a solar photovoltaic (PV) company being spun off by SPI Energy, which will still control SolarJuice after the IPO. – 3.0 million shares at $5.00 to $6.00 to raise $16.5 million – Maxim Group is the sole book-runner.
Solar Agri-Business & NFT Video Game IPOs
A solar energy-focused agri-business is expected to price its micro-cap IPO on Wednesday night (March 1, 2023) to trade Thursday, March 2, on the NASDAQ:
- Opti-Harvest, Inc. (OPHV proposed) – Los Angeles-based Opti-Harvest makes sunlight optimization equipment and precision farming platforms to help commercial growers and home gardeners make the most of solar energy. – 2.0 million shares $4.00 to raise $8.0 million – WestPark Capital is the sole book-runner.
An NFT-focused video game studio, publisher and platform company is set to price its micro-cap IPO on Thursday night (March 2, 2023) to trade Friday, March 3, on the NASDAQ:
- Ultimax Digital (NFTX proposed) – New York-based Ultimax Digital is an early-stage developmental video game studio, publisher and platform company that is developing an NFT (Non-Fungible Tokens) Marketplace – similar to the traditional trading card model – to create NFT-based trading cards for characters in their video games. – 1.875 million shares at $4.00 to raise $7.5 million – WestPark Capital is the sole book-runner.
Looking Ahead
Two small-cap IPOs are on the IPO Calendar for next week – the first full week of March. A micro-cap IPO is set for pricing the following week. This slight build-up in the IPO Calendar may be signs of an IPO spring.
Meanwhile, most IPO investors are keeping a weather eye on the SEC’s filing window for signs of the next big IPO to launch. Atlas Energy Solutions, Inc. (AESI proposed), a frac sand mining company, and Atmus Filtration Technologies, Inc. (ATMU proposed), a manufacturer of lube filters and other parts and accessories for commercial trucks and off-road heavy equipment – and a spin-off by engine manufacturer Cummins (CMI) – are on the big IPO radar.
Stay tuned.
(For more information about these companies, please check the IPO Calendar and the individual IPO Profiles found on IPOScoop.com’s website.)
Note: Never trade on proposed symbols. They have been known to change and you might buy something on the OTC Bulletin Board.
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