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Investment Solutions

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Investment Solutions

Features

IPO Watch: Judo Bank, Step One and Vulcan headline a blockbuster week

Rene Anthony

Saturday, October 30, 2021

Saturday, October 30, 2021

As the window begins to close on IPO hopefuls for 2021, this week sees a number of major players make a late-year run to the ASX

As the window begins to close on IPO hopefuls for 2021, this week sees a number of major players make a late-year run to the ASX

Watch out for high-profile IPOs from challenger bank Judo Capital (ASX: JDO), steel distributor Vulcan (ASX: VSL) and popular bamboo underwear retailer Step One (ASX: STP), with the trio, worth a combined $3.5 billion, starring in one of the most-anticipated week for new listings this year.Small-cap resources explorers Aurum Resources (ASX: AUE), C29 Metals (ASX: C29) and Austral Resources (ASX: AR1) are also in line for a stock market debut, as is virtual plant and engineering tech services firm Remsense (ASX: REM), which has clients like Woodside Petroleum on its books.Pharmaceutical drug discovery firm Evotec (NASDAQ: EVO) is the largest float from the US over the coming days, set to raise more than half a billion dollars for a US$9.2 billion cap. 

Upcoming IPOs

MarketCompanyFocusIPO sizeExpected debutASXJudo Capital (JDO)Challenger bank for SMEs$653mNov 1ASXStep One Clothing (STP)Direct-to-consumer online bamboo underwear retailer     $81.3mNov 1ASXAurum Resources (AUE)Gold explorer$5mNov 2ASXRemsense (REM)Virtual plant and engineering tech$5mNov 2ASXAustral Resources (AR1)Copper producer$30mNov 3ASXC29 Metals (C29)Copper, gold and base metals explorer$5mNov 3ASXVulcan Steel (VSL)Steel processor and distributor$371.6m  Nov 4ASXGreen Technology Metals (GT1) Lithium explorer$24mTBC

USAllbirds (BIRD)Direct-to-consumer sustainable footwearUS$250mUSDelimobil (DMOB)Russian car-sharing companyUS$220mUSArhaus (ARHS)Retailer of premium home decorUS$355mUSEvotec (EVO)Drug discovery solutionsUS$576mUSMainz Biomed (MYNZ)In vitro molecular tests for cancer screeningUS$10mUSClaros Mortgage Trust (CMTG)Commercial mortgage real estate trustUS$134mUSNerdWallet (NRDS)Personal finance appUS$131mUSMDxHealth (MDXH)Genomic testing for prostate cancerUS$50mUSCian (CIAN)Russian online real estate listing platformUS$269mUSFlexEnergy (FLXE)Turbine systems and heat exchangersUS$35mUSReal Good Foods (RGF)Health-conscious packaged foodsUS$80mUSDesert Peak Minerals (DPM)Mineral and royalty interestsUS$215mUSKidpik (PIK)Subscriptions for children's clothingUS$15mUSNuvectis Pharma (NVCT)Phase 1 developer in-licensed therapies for cancerUS$30m

*All dates are subject to change and should be treated as an indicative guide only

Future Listings

Metals exploration business 8AU is the latest junior company eyeing an ASX debut, with the backing of well-known mining industry player Bryan Frost in its corner. Based in Western Australia, 8AU is looking for gold, nickel and copper, with the company attracting a value just shy of $20 million.Meanwhile, a small scale IPO is in the works for nickel, cobalt and gold explorer Panther Metals. Already listed on the London Stock Exchange, a local spin-off to the tune of $5 million is expected to fund exploration across its portfolio of tenements in WA, located near industry majors such as Glencore and Anglo Gold Ashanti. Also on the near-term horizon is Australian Bond Exchange, a bond trading, settlement and custodial services firm for wholesale investors. Formed back in 2015, the company is looking to issue 8 million to 16 million shares at $0.65 a piece to raise up to $10.4 million, which would imply a market capitalisation of $76 million. Australian Bond Exchange earns via spreads on wholesale OTC trades, transaction origination fees, and brokerage on bond trades.Not far behind, Compare Club is looking to press go' on its IPO plans, with a listing expected by December. The value of the company float has been touted as being up to $65 million, which it intends to use to pay out existing shareholders, while also driving growth across its insurance, utilities and services comparison platform, including the prospect of new verticals. Finally, marketing tech firm Xpon Technologies is preparing for its tilt at the ASX, with a listing pencilled in for just before Christmas. The cloud-based marketing platform, which leverages AI algorithms across a customer pool of client data to draw insights on habits, is pitching for $12.5 million in funds to give it a value of circa $60 million on listing.Just eight companies submitted IPO filings in the US last week, but there was one name that might appear familiar to local investors. Australian bitcoin mining firm Iris Energy is gearing up for a shot at the Nasdaq, hiring JPMorgan, Canaccord and Citi, among others, to help lead its IPO. Iris Energy has been mining bitcoin since 2019, and sells mined bitcoin rather than holding it as an asset. During the recent September quarter, the company generated US$10.4 million in revenue, and also became EBITDA positive, going some way towards its recent valuation of around US$1.5 billion when it raised money via a convertible notes offer. Other US floats coming up could include but are not limited to bitcoin miner Rhodium Enterprises, cannabis finance real estate trust Chicago Atlantic Real Estate Finance, and genetic testing firm Agendia.

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