U.S. IPO Volume Triples in Q2 2010

The number of IPOs filed by U.S. companies tripled in the second quarter 2010 when compared with the similar period last year, according to U.S. IPO Watch, an analysis of IPO activity on U.S. stock exchanges produced by PricewaterhouseCoopers LLC.

According to the IPO Watch, which PwC produces quarterly and annually, for the June 2010 quarter the number of filed IPOs jumped to 39 from 12 during the comparable quarter last year and the value of those filings rose to $5.1 billion from the prior period's $1.6 billion.

PwC data shows that the number of U.S. IPOs registered during the second quarter 2010 is the highest for comparable periods since 2007 when 79 deals raised some $21.1 billion. Those figures slipped precipitously in Q2 2008, when 18 IPOs raised $5.1 billion.

For the first six months of 2010, some 66 IPOs generating $9.2 billion were recorded, compared with 14 deals raising $2.3 billion during the same six-month period last year, according to IPO Watch.

While the IPO statistics clearly point to upward momentum in the overall IPO market, the number of deals reported in Q2 2010 declined with each successive month, from 17 completed transactions in April to 11 each in May and June, PwC said.

In the latter two months of the quarter, 15 IPOs either were withdrawn or postponed, PwC said.

"Despite recent market hurdles, the IPO pipeline continues to build with an additional 68 companies registering new deals during the second quarter," said Scott Gehsmann, PwC Transaction Services, capital markets partner.

"While recent market swings have posed a short term threat to companies looking to price their IPOs, the path to a successful IPO is a journey not a sprint," he said.

According to PwC data, small- and mid-cap deals dominate IPO volume, although the company expects a number of deals with offering proceeds exceeding $1 billion to occur during the second half of this year.


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