Anthony Hughes is senior reporter, equities, for IFR where he covers developments in US equity capital markets. He previously worked as a financial reporter and columnist for the Australian Financial Review and, prior to that, as investment editor at the Sydney Morning Herald.
Cable IPOs are rare. Those of so-called “cable overbuilders” or companies that build new cable infrastructure over the top of existing systems are rarer still. The lack of comps for this type of business was just one of the issues that plagued last week’s US$310m IPO of WideOpenWest.
Laboratory products and services supplier Thermo Fisher Scientific revealed last week it would raise US$2bn of equity (plus US$2bn of debt) to help finance its US$5.2bn acquisition of contract drug maker and 2016 IPO Patheon. The fundraising continues the flow of healthcare M&A driving mega equity financings, fresh from Becton Dickinson’s US$4.5bn equity/equity-linked financing earlier this month.
A soaring share price accompanied by increased demand for the stock from institutional investors ensured ample support for fast-growing e-commerce platform Shopify’s US$500.5m all-primary stock sale last week.