The impact of the Jumpstart Our Business Startups (JOBS) Act on capital formation cannot be ignored. More than two years since it was enacted, the legislation has provided a bridge to the public markets for small, venture-backed growth companies.
The JOBS Act has been particularly good for biotech new issues as it allows companies to quickly access fickle IPO pricing windows. The shorter period between public filing and roadshow launch for so-called Emerging Growth Companies, just 21 days, has certainly increased the flow of hard-to-price biotech IPOs but a relatively small group of biotech specialist investors still holds sway over public valuations.
Blackstone Group, one of the largest suppliers of new issues in 2013, is entering the monetisation phase on some of its most prized real estate assets. The private equity firm is a registered seller on three deals that have filed in recent weeks including its first selldown of Hilton Worldwide Holdings.