Believe it or not, 2014 is already more than half over. It started out with a bang when sixteen companies had their financial coming out parties in January, and it’s been a busy year ever since. There are 135 initial public offerings (IPOs) on the books so far for 2014. The step from being a privately held company to IPO has had a positive effect on some, but for others – not so much. Let’s take a look at five debutantes of 2014 to see how they’ve fared.
Parsley Energy, Inc. (NYSE:PE), based in Midland, Texas, went public on the NYSE on Friday, May 23, 2014. With operations in the Midland Basin, the independent oil and gas company has grown significantly from a two-person start-up in 2008 to a solid producer of 12,000 barrels of oil per day. Parsley’s initial offering of 50 million shares made their market entrance at $18.50. They closed last week at $23.73 with 117.81 million shares.
ServiceMaster Global Holdings, Inc. (NYSE:SERV) debuted with an opening share price of $17 on Wednesday, June 25. It closed at $17.95 on its first day. The commercial and residential maintenance and service provider started with an initial offering of 35.9 million shares. As of Monday, June 30, it was selling at $18.75 per share.
Not all IPOs have done as well as they’d hoped. Eagle Pharmaceuticals (NASDAQ:EGRX) went public on Wednesday, Feb. 12. It sold 3.4 million shares. The New Jersey-based company opened at $15, closing on its first day at just $12.83. It has rebounded a bit, bumping up to $13.57 as of Monday, June 30. Eagle Pharmaceuticals, founded in 2007, develops and commercializes inject-able drugs for oncology and critical care medicine.
Based in Malibu, Tennessee, this sporting boats manufacturer has made modest gains as one of the early IPO debutantes of 2014. Malibu Boats (NASDAQ:MBUU) opened at $14 on its first day, Friday, Jan. 31, closing at $17.03. It sold 7.1 million shares. As of June 30, the recreational boating industry continues to embrace Malibu, as its stock price was holding at $20.03.
One of the biggest splashes in IPOs for 2014 has been GoPro (NASDAQ:GPRO). The innovative highline sports camera maker has gained a lot of attention with its recent offering, opening at $24 on Thursday, June 26. With much excitement around its first day, it closed at $31.34. It sold 17.8 million shares. As of June 30, GoPro was selling at $35.76.
As IPOs continue to garner attention in 2014, with many companies planning to go public before 2015 there’s hope for upcoming public offerings for the rest of the year. For companies that seek an increase in funding, the market has shown promise for some, but for others, it’s just been a struggle. Going public isn’t the only way to raise funding, however – if your business is in need of working capital, call us today to talk about options – we are happy to help!