Opening Day: KKR-backed BrightSpring prices below expectations, then opens lower

Health-care services provider BrightSpring, which is backed by private equity firm KKR, priced its initial public offering at $13, below a marketed range of $15 to $18 per share, before opening on Friday a dollar below that IPO price.

In addition, Morgan Stanley Direct Lending Fund was one of several other companies that went public this week, raising $103.35M in its IPO, according to the company.  

LATEST IPOS AND DIRECT LISTINGS:

BrightSpring Health Services (BTSG) opened on January 26 at $12 per share. The community-based health-care services provider backed by KKR & Co. (KKR) priced 53.3M shares at $13.00, below the $15.00-$18.00 marketed target range. BrightSpring notes that it provides comprehensive care and clinical solutions – including pharmacy, primary care and home health care, and rehabilitation and behavioral health services – in all 50 states to over 400,000 customers, clients and patients daily.

ArriVent Biopharma (AVBP) opened on January 26 at $24 after having priced 9.72M shares at $18.00. The deal size was increased from 8.3M shares of common stock and priced within the $17.00-$19.00 range. ArriVent is a clinical-stage biopharmaceutical company working to identify, develop and commercialize differentiated medicines to address the unmet medical needs of patients with cancers. ArriVent seeks to utilize its team’s “deep drug development experience” to maximize the potential of its lead development candidate, furmonertinib, and advance a pipeline of novel therapeutics, such as next-generation antibody drug conjugates, through approval and commercialization in patients suffering from cancer, with an initial focus on solid tumors, the company says.

Haoxi Health Technology (HAO) opened on January 26 at $4.25 after having priced 2.4M shares at $4.00. Haoxi Health Technology is an online marketing solution provider headquartered in Beijing, China.

CG Oncology (CGON) opened on January 25 at $29 after the company priced 20M shares at $19.00. The deal size was increased to 20M shares from 17M shares and priced above the high end of a $16.00-$18.00 range. CG Oncology is a late-stage clinical biopharmaceutical company focused on developing and commercializing a potential backbone bladder-sparing therapeutic for patients afflicted with bladder cancer.

Nuveen Churchill (NCDL) opened on January 25 at $17.85. The business development company externally managed by its investment adviser, Churchill DLC Advisor, and by its sub-adviser, Churchill Asset Management, had priced its initial public offering of 5.5M shares of its common stock at $18.05 per share. NCDL intends to use the net proceeds of this offering to pay down existing indebtedness, make investments in middle market companies in accordance with its investment strategy, and for other general corporate purposes.

Morgan Stanley Direct Lending (MSDL) opened on January 24 at $20.45. The business development company externally managed by MS Capital Partners Adviser had priced its initial public offering of 5M shares of its common stock at $20.67 per share.

J-Long Group (JL) opened on January 24 at at $7.50. The established distributor in Hong Kong of reflective and non-reflective garment trims had priced its initial public offering of 1.4M ordinary shares at a public offering price of $5.00 per ordinary share.

SU Group (SUGP) opened on January 24 at $4.38. The integrated security-related engineering services company in Hong Kong had priced its initial public offering of 1.25M ordinary shares at a price of $4.00 per share. The deal priced at the low end of its $4.00-$5.00 range.

PERFORMANCE:

• BrightSpring Health closed Friday at $11.
• ArriVent Biopharma finished its first day of trading at $20.
• Haoxi closed at $5.28 after opening on Friday at $4.25.
• CG Oncology ended the week at $35.03.
• Nuveen Churchill finished Friday at $17.85.
• Morgan Stanley Direct Lending ended the week at $20.45.
• J-Long Group finished Friday at $10.05.
• SU Group ended the week at $3.52.

UPCOMING IPOS: Upcoming IPO and direct listings expected include Telix Pharmaceuticals, Key Mining (KMCM), Auna (AUNA), Amer Sports (AS), Rubrik and New Era.

Click here to see upcoming IPO calendar on TipRanks.

Telix Pharmaceuticals announced that it it considering an initial public offering of American Depositary Shares, representing its ordinary shares in the U.S. and listing on the Nasdaq Global Market. Telix’s ordinary shares will remain listed on the Australian Securities Exchange.

Key Mining Corp., which previously had filed related to an offering of shares of its common stock in an initial public offering, stated in an amended filing that it has applied to list its common stock on the NYSE American under the trading symbol “KMCM.” “No assurance can be given that our application will be approved. If our common stock is not approved for listing on the NYSE American, we will not consummate this offering,” the filing noted. Titan Partners Group is acting as the book-running manager for the offering. The filing states: “We are an exploration stage mining company focused primarily on the development of two projects, both of which are located in the Atacama Region, also known as Region III, of the Republic of Chile. Our Cerro Blanco project, or the Cerro Blanco Project, is focused primarily on exploring for rutile from which high grade titanium dioxide, or TiO2, can be processed. Our Fiel Rosita project, or the Fiel Rosita Project, is focused primarily on exploring for copper, and to a lesser extent, zinc.”

Auna S.A. has filed with the SEC for a planned initial public offering and applied to have the class A shares listed on the New York Stock Exchange under the symbol “AUNA.” The prospectus filed with the SEC states in part that, “Our mission is to lead the transformation toward a significantly improved and highly integrated healthcare system throughout Spanish-speaking Latin America. We operate hospitals and clinics in Mexico, Peru and Colombia, provide prepaid healthcare plans in Peru and provide dental and vision plans in Mexico.”

Amer Sports announced it has publicly filed a registration statement with the Securities and Exchange Commission relating to a proposed initial public offering of its ordinary shares. The number of shares to be offered and the price range for the proposed offering have not yet been determined. Amer owns sports and outdoor brands, including Arc’teryx, Salomon, Wilson, Peak Performance, and Atomic. The company, whose vision “is to be the global leader in premium sports and outdoor brands,” has over 10,800 employees globally, operations in 41 countries, and its revenue in 2022 was $3.5B.

Rubrik, a cloud and data security startup backed by Microsoft (MSFT), is on track for an initial public offering in 2023 and its investor roadshow could begin as soon as next month, Bloomberg‘s Amy Or and Katie Roof report, citing people familiar with the matter. The IPO could bring in $500M-$700M, the authors say, noting that the timing and amount to be raised is still subject to change.

New Era Cap, a supplier of major U.S. sports league headware, has kicked off preparations for an initial public offering in New York that could value it at $4B to $5B, Reuters says, citing people familiar with the matter. New Era, which makes caps affiliated with the NFL, MLB and NBA, has invited investment banks and law firms to pitch this month for roles in its stock market debut, the sources said.

OTHER IPO NEWS:  Fat Brands (FAT) could complete an IPO of sports bar chain Twin Peaks by the end of its fiscal Q1 on April 30, Axios‘ Richard Collings reports, citing a source familiar with the matter.

Opening Day” is The Fly’s recurring series of stories on the latest initial public offerings, their performance, and upcoming IPOs.