A mix of healthcare and technology startups listed their shares on Thursday.
NYSE
The IPO tidal wave continued Thursday with six companies, a mix of healthcare and technology startups, going public.
Bright Health Group and Doximity traded on the New York Stock Exchange, while Confluent, Miromatrix Medical, Monte Rosa Therapeutics, and Grove opened on the Nasdaq.
Soulgate, an algorithm-driven online social playground in China, was scheduled to trade Thursday but pulled its deal, a person familiar with the situation said. The company has received other offers to raise capital, Reuters said.
Doximity (ticker: DOCS) was the best performer of the group. Shares kicked off at $41.17, hit a high of $53.89 and closed Thursday at $53, up nearly 104% from the offer price.
Late Wednesday, Doximiity collected $494.3 million after selling 23.3 million shares at $26, $3 above its $20 to $23 price range. Doximity provides a cloud-based digital platform for doctors that allows them to collaborate and coordinate patient care. At $53, Doximity is valued at $9.4 billion.
Miromatrix Medical (MIRO) was the first of Thursday’s group to begin trading. The stock opened at $12, and hit a high of $16.52. Shares closed at $15.24, up 69% from the offer price.
Miromatrix and Monte Rosa Therapeutics (GLUE), both biotechs, boosted the size of their deals and sold stock at the high end of their price ranges. Such increases are typically signs of strong demand.
Miromatrix ended up selling 4.8 million shares at $9, up from the 4 million at $7 to $9 it had planned to offer. Miromatrix is bioengineering fully transplantable human organs to help address the organ shortage. Its initial focus is on human livers and kidneys, the prospectus for its deal said.
Monte Rosa Therapeutics, meanwhile, launched at $22, peaked at $23.77 and ended at $21.18, up more than 11% from its offer price.
Monte Rosa collected about $222.3 million after selling 11.7 million shares at $19 each. It had filed to offer 9.75 million shares at $17 to $19. The biotech is developing small-molecule precision medicines to treat cancer, its prospectus said.
Shares of the much anticipated IPO from Confluent (CFLT), an event-streaming platform, opened at $44 and hit a high of $47. The stock closed at $45.02, up 25% from its offer price. At that price, Confluent is valued at roughly $11.4 billion.
Confluent hauled in $828 million after pricing its deal above its expected range. The company sold 23 million shares at $36, above its $29 to $33 range.
Launched in 2014, Confluent helps businesses access, store, and manage data as continuous real-time streams. It has more than 2,500 customers, including Goldman Sachs Group (GS), Domino’s Pizza (DPZ), Instacart, and Michelin (ML.France). At $42.65 a share, Confluent is valued at roughly $10.8 billion—more than double the $4.5 billion valuation the company snagged in April 2020 when it raised $250 million in a series E funding round.
Grove (GRVI), which develops and makes cannabidiol products for the botanical, beauty care, pet care, and functional food sectors, also opened. The stock traded below its $5 offer price for much of Thursday but rebounded in the afternoon, hitting a high of $5.80 and ending at $5.60, up 12% from its offer price.
The company raised about $11 million after selling 2.2 million shares at $5, the middle of its $4.50 to $5.50 price range.
Lastly, Bright Health Group (BHG) delivered the biggest IPO Thursday, raising $924.3 million. It was also the only one of the six companies to cut the size of its deal. Bright Health had planned to offer 60 million shares at $20 to $30, but ended up selling 51.35 million shares at $18 each. Shares opened at $17, peaked at $17.89 and closed at $16.64, down nearly 8% from the offer price. This makes Bright Health a so-called broken deal.
Bright Health has two lines of business. It provides virtual and in-person clinical care to nearly 75,000 patients through NeueHealth. It also offers healthcare benefits to over 623,000 consumers through Bright HealthCare.
Seventeen companies were expected to make their public equities market debuts this week. Full Truck Alliance (ticker: YMM), the so-called Uber for trucks in China, gained 13% in its first day of trading Tuesday. On Wednesday, First Advantage (FA), a provider of background screenings for companies, and Sprinklr (CXM), which offers an AI-powered customer-experience platform that handles a company’s communication and advertising in one spot, both rose in their debuts. Eight companies are expected to list on Friday.
Write to Luisa Beltran at [email protected]
