United States: The Road To IPO: Legal And Regulatory Insights Into Going Public (April 2014)

The March 2014 IPO market produced 23 IPOs—since the end of 2000, only 10 months have topped the March tally. The 60 IPOs in the first quarter of 2014 reflect the fourth consecutive quarterly increase in the number of IPOs and represent the highest quarterly figure since the 63 IPOs in the fourth quarter of 2007.

Gross proceeds of $2.86 billion in March brought the total for the first quarter of 2014 to $9.53 billion—71% above the $5.58 billion raised by the 20 IPOs in the first quarter of 2013.

March produced nine IPOs by life sciences companies, bringing the year-to-date count to 31 IPOs and equal to 52% of all US IPOs. The high proportion of life sciences company IPOs is partly responsible for the decline in the median IPO offering size from $107.4 million for full year 2013 to $88.0 million in the first quarter of 2014, representing the lowest yearly figure since the $84.0 million median offering size in 2000.

The shift in the percentage of profitable IPO companies and the median annual revenue of IPO companies from 2013 to 2014 is more stark. The percentage of profitable IPO companies declined from 43% for full-year 2013 to 22% in the first quarter of 2014—a figure even below the 26% that prevailed at the height of the dot-com boom in 1999 and 2000. The median annual revenue of IPO companies fell from $89.9 million for full-year 2013 to $20.8 million in the first quarter of 2014, with life sciences IPO companies reporting annual revenue of less than $1 million.

The average IPO company in the first quarter of 2014 has enjoyed a 21% first-day gain from its offering price—equal to the average first-day gain for full-year 2013. Year-to-date, 28% of IPOs were "broken" (closing below the offering price in first-day trading), representing the highest percentage of broken IPOs since 2010. At March month-end, a similar percentage of the 2014 IPO class were trading below their offering price. The average 2014 IPO ended the month 27% above its offering price, outperforming the Dow Jones Industrial Average and Nasdaq Composite Index by a wide margin.

With 103 IPO public filings in the first three months of 2014—a quarterly total surpassed only once in the prior 10 years—deal flow in the coming months is expected to be strong as long as favorable capital market conditions prevail. Moreover, overall deal flow is masked to some extent by confidential submissions by emerging growth companies under the JOBS Act.

IPO activity in March consisted of offerings by the following companies listed in the order they came to market:

• Aquinox Pharmaceuticals, a clinical-stage pharmaceutical company discovering and developing novel drug candidates to treat inflammation and cancer, priced an IPO upsized by 14% at the midpoint of the range and gained 9% on its first trading day.
• Coupons.com, a leading digital promotion platform that connects great brands and retailers with consumers, priced an IPO upsized by 5% above the range and produced a first-day gain of 88%.
• Recro Pharma, a clinical-stage specialty pharmaceutical company developing non-opioid therapeutics for the treatment of pain, initially in the post-operative setting, priced an IPO upsized by 47% below the range and ended its first day of trading up 4%.
• Achaogen, a clinical-stage biopharmaceutical company passionately committed to the discovery, development and commercialization of novel antibacterials to treat multi-drug resistant, or MDR, gram-negative infections, priced an IPO upsized by 20% at the low end of the range and traded up 19% on its opening day.
• Dipexium Pharmaceuticals, a late stage pharmaceutical company focused on the development and commercialization of a novel, first-in-class, broad spectrum, topical antibiotic, priced an IPO upsized by 19% at the low end of the range and gained 17% on its first day.
• Galmed Pharmaceuticals, a clinical-stage biopharmaceutical company focused on the development and commercialization of a novel, once-daily, oral therapy for the treatment of liver diseases and cholesterol gallstones utilizing proprietary first-in-class family of synthetic fatty-acid/bile-acid conjugates, priced an IPO upsized by 21% within the range and ended its first trading day up 6% from its offering price.
• Castlight Health, a provider of cloud-based software that enables enterprises to gain control over their rapidly escalating health care costs, priced above an upwardly revised price range and produced a first-day gain of 149%—the fourth "moonshot" of the year (an IPO that doubles in price on its opening day).
• Paylocity Holding, a cloud-based provider of payroll and human capital management software solutions for medium-sized organizations, priced an IPO upsized by 6% above the range and gained 44% of its first trading day.
• Akebia Therapeutics, a biopharmaceutical company focused on the development of novel proprietary therapeutics based on hypoxia inducible factor biology and the commercialization of these products for patients with kidney disease, priced an IPO upsized by 20% at the high end of the range and produced a first-day gain of 57%.
• MediWound, a fully integrated biopharmaceutical company focused on developing, manufacturing and commercializing novel products to address unmet needs in the fields of severe burns, chronic and other hard-to-heal wounds and connective tissue disorders, priced at the low end of the range and gained 23% on its first day of trading.
• Q2 Holdings, a leading provider of secure, cloud-based virtual banking solutions, priced at the top of the range and gained 17% in first-day trading.
• A10 Networks, a leading provider of advanced application networking technologies, priced at the top of the range and gained 8% on its first day of trading.
• Amber Road, provider of cloud-based global trade management solutions, priced an IPO upsized by 13% above the range and produced a first-day gain of 31%.
• BorderFree, a market leader in international cross-border ecommerce, operating a proprietary technology and services platform to enable U.S. retailers to transact with consumers in more than 100 countries and territories worldwide, priced at the top of the range and ended its first day of trading with a 25% gain.
• Versartis, an endocrine-focused biopharmaceutical company initially developing a novel long-acting recombinant human growth hormone, VRS-317, for growth hormone deficiency, priced an IPO that had earlier been upsized by 30% at the high end of an upwardly revised price range and jumped 49% in first-day trading.
• King Digital Entertainment, an interactive entertainment company for the mobile world with leading games including Candy Crush Saga, Pet Rescue Saga and Farm Heroes Saga, priced at the midpoint of the range and slid 16% on its first day.
• Nord Anglia Education, a leading international operator of premium schools, priced at the midpoint of the range and gained 13% on its first day of trading.
• Applied Genetic Technologies, a clinical-stage biotechnology company that uses its proprietary gene therapy platform to develop products designed to transform the lives of patients with severe inherited orphan diseases in ophthalmology, priced an IPO upsized by 17% below the range and produced a first-day gain of 23%.
• TriNet Group, a leading provider of a comprehensive human resources solution for small to medium-sized businesses, priced in the middle of the range and ended its first day of trading up 19%.
• 2U, a leading provider of cloud-based software-as-a-service solutions that enable leading nonprofit colleges and universities to deliver high quality education to qualified students anywhere, priced at the high end of the range and gained 8% on its first day of trading.
• Aerohive Networks, a designer and developer of a leading cloud-managed mobile networking platform that enables enterprises to deploy a mobile-centric network edge, priced at the midpoint of the range and ended its first day flat.
• Energous, a development stage technology company developing technology that can enable wireless charging or powering of electronic devices at distance, priced at the expected price and soared 76% in first-day trading.
• Everyday Health, a leading provider of digital health and wellness solutions, priced in the middle of the range and declined 4% on its first day of trading.

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The February 2014 IPO market produced 21 IPOs, the third highest monthly tally since 2007. Life sciences companies dominated the month with 16 IPOs—76% of the total. Gross proceeds in February were $1.52 billion, well shy of the $5.15 billion in January and the lowest monthly figure since February 2013, reflecting the smaller average size of life sciences offerings.

The average IPO company in the first two months of 2014 has enjoyed a 16% first-day gain from its offering price—below the 21% average first-day gain for full-year 2013 but equal to the average first-day gain for full-year 2012. In the first two months of 2014, 41% of IPOs were "broken" (IPOs whose stock closes below the offering price on their opening day)—well above the 22% for all of 2013. At February month-end, however, only 22% of 2014 IPOs were trading below their offering price—a figure not much worse than the 19% of 2013 IPOs that ended the year below their offering price.

The average 2014 IPO ended February 31% above its offering price, compared to the year-to-date gains of 1% and 6%, respectively, for the Dow Jones Industrial Average and Nasdaq Composite Index.

With life sciences companies accounting for approximately 60% of all IPOs over the first two months of the year, the profile of the median 2014 IPO is far different than that seen in recent years. The median offering size of $84.0 million in 2014 is 21% below the median of $106.7 million for the five-year period of 2009 to 2013. The percentage of IPO companies that are profitable year-to-date, at 27%, is equal to half the comparable figure (54%) for IPO companies between 2009 and 2013. and only a single percentage point above the 26% figure that prevailed in 1999 and 2000. The median annual revenue figure of $15.3 million for 2014 IPO companies is 86% below the $106.6 million median for the five-year period of 2009 to 2013 and below even the $17.9 million and $17.6 million figures in 1999 and 2000, respectively.

IPO activity in February consisted of offerings by the following companies listed in the order they came to market:

• Auspex Pharmaceuticals, a biopharmaceutical company focused on the development and commercialization of novel medicines for the treatment of orphan diseases, priced an IPO upsized by 17% at the high end of the range and produced a first-day gain of 31%.
• Biocept, a cancer diagnostics company that develops and commercializes proprietary circulating tumor cell and circulating tumor DNA tests utilizing a standard blood sample, priced an IPO upsized by 5% at the low end of the range and declined 6% on its first trading day.
• Continental Building Products, a leading, high margin manufacturer of gypsum wallboard and complementary finishing products, priced below the range and ended its first day with a gain of 9%.
• Genocea Biosciences, a clinical stage biotechnology company that discovers and develops novel vaccines to address infectious diseases for which no vaccine or vaccines with limited effectiveness exist today, priced at the low end of the range and ended its first day of trading down 8% from its offering price.
• uniQure, a leader in the field of gene therapy that has developed the first and currently the only gene therapy product to receive regulatory approval in the European Union, priced an IPO upsized by 17% above the range and declined 14% on its first trading day.
• Egalet, a specialty pharmaceutical company developing and planning to commercialize proprietary, abuse-deterrent oral products for the treatment of pain and in other indications, priced an IPO upsized by 20% at the midpoint of the range and ended its first day flat.
• Eleven Biotherapeutics, a clinical-stage biopharmaceutical company with a proprietary protein engineering platform, called AMP-Rx, that the company applies to the discovery and development of protein therapeutics to treat diseases of the eye, priced below the range and gained 9% on its first trading day.
• Ladder Capital, a leading commercial real estate finance company with a proprietary loan origination platform and an established national footprint, priced at the midpoint of the range and ended its first day one cent shy of its offering price.
• Revance Therapeutics, a clinical stage specialty biopharmaceutical company focused on the development, manufacturing and commercialization of novel botulinum toxin products for multiple aesthetic and therapeutic applications, priced an IPO upsized by 20% at the high end of the range and produced a first-day gain of 68%.
• Argos Therapeutics, a biopharmaceutical company focused on the development and commercialization of fully personalized immunotherapies for the treatment of cancer and infectious diseases, priced an IPO upsized by 32% below the range and ended its first day flat.
• GeoPark, an independent oil and natural gas exploration and production company with operations in South America, priced at the low end of its downwardly revised range and ended its first day of trading down 8%.
• NephroGenex, a pharmaceutical company focused on the development of therapeutics to treat kidney disease, priced at the low end of the range and declined 4% on its first trading day.
• Eagle Pharmaceuticals, a specialty pharmaceutical company focused on developing and commercializing injectable products utilizing the FDA's 505(b)(2) regulatory pathway, priced at the midpoint of the range and ended its first day 14% below its offering price.
• Flexion Therapeutics, a specialty pharmaceutical company focused on the development and commercialization of novel, long-acting, injectable pain therapies, priced at the midpoint of the range and produced a first-day gain of 13%.
• Amedica Corporation, a commercial biomaterial company focused on using their silicon nitride technology platform to develop, manufacture and sell a broad range of medical devices, priced below a downwardly revised price range and ended its first day of trading 6% below its offering price.
• Concert Pharmaceuticals, a clinical stage biopharmaceutical company applying its extensive knowledge of deuterium chemistry to discover and develop novel small molecule drugs, priced an IPO upsized by 20% at the top of the range and gained 1% on its first day.
• Installed Building Products, the second largest new residential insulation installer in the United States, priced below the range and produced a first-day gain of 16%.
• Inogen, a medical technology company that develops, manufactures and markets innovative portable oxygen concentrators used to deliver supplemental long-term oxygen therapy to patients suffering from chronic respiratory conditions, priced at the low end of the range and declined 5% on its first trading day.
• Semler Scientific, an emerging medical risk-assessment company with a product allowing healthcare providers to measure arterial blood flow in the extremities, priced below the range and ended its first day one cent shy of its offering price.
• Lumenis, a provider of innovative energy-based, minimally invasive clinical solutions, priced below the range and gained 1% on its first day.
• Varonis Systems, a provider of a software platform that allows enterprises to map, analyze, manage and migrate their unstructured data, priced above the range and ended its first day of trading up 100%—the third "moonshot" of the year (an IPO that doubles in price on its opening day).

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The 2014 IPO market got off to its earliest start since 1998 as the inaugural IPO of the year came to market in the first full week of January. The month ended with 16 IPOs—only one shy of the combined January IPO total over the preceding three years, and the highest January tally since the 20 IPOs in January 2000. The last day of January alone produced six IPOs—a daily count that high seen only three times since the end of 2000.

Continuing a trend from 2013, the life sciences sector produced the largest number of IPOs in the month, with six. Energy-related companies contributed five IPOs in January.

Gross proceeds of $5.15 billion for January were 57% higher than the $3.29 billion for the corresponding month in 2013. The largest January 2014 IPO was the $1.80 billion offering by Santander Consumer US, followed by offerings from oil and gas companies Rice Energy ($924 million) and EP Energy ($704 million).

The average January IPO saw a first day gain of 25% compared to the 21% first-day gain for the average IPO in 2013, but the 2014 figure was buoyed by two "moonshots" (an IPO that doubles in price on its opening day). Without the IPOs of Dicerna Pharmaceuticals and Ultragenyx Pharmaceutical, which enjoyed first-day gains of 207% and 102%, respectively, the average first-day gain for IPOs in January would have been only 7%.

The average life sciences IPO in January saw a first-day gain of 56%—but only 6% without the two moonshots. The five energy-related IPOs in January declined an average of 2% on their first day of trading.

January's median offering size of $110.5 million was 3% above the full-year 2013 figure of $107.4 million. Emerging growth companies in January had a median offering size of $90.5 million compared to the $814.0 million median deal size for non-EGC companies. The median offering size for venture-backed companies, based on a small sample size of seven IPOs in the month—was only $64.8 million in January.

The percentage of profitable IPO companies declined from 43% in full-year 2013 to 38% in January 2014.

IPO activity in January consisted of offerings by the following companies listed in the order they came to market:

• GlycoMimetics, a clinical stage biotechnology company focused on the discovery and development of novel glycomimetic drugs to address unmet medical needs resulting from diseases in which carbohydrate biology plays a key role, priced an IPO upsized by 22% at the estimated offering price and ended its first day with a 13% gain.
• CHC Group, the world's largest commercial operator of heavy and medium helicopters, priced an IPO upsized by 5% below a downwardly revised price range and declined 2% on its first trading day.
• EP Energy, an independent exploration and production company engaged in the acquisition and development of unconventional onshore oil and natural gas properties in the United States, priced a downsized IPO below the range and ended its first day 10% below its offering price.
• RSP Permian, an independent oil and natural gas company focused on the acquisition, exploration, development and production of unconventional oil and associated liquids-rich natural gas reserves in the Permian Basin of West Texas, priced within the range and saw a first-day gain of 3%.
• Santander Consumer USA, a full-service, technology-driven consumer finance company focused on vehicle finance and unsecured consumer lending products, priced an IPO upsized by 15% at the low end of an upwardly revised price range and gained 5% on its first day.
• Rice Energy, an independent natural gas and oil company engaged in the acquisition, exploration and development of natural gas and oil properties in the Appalachian Basin, priced an IPO upsized by 10% at the high end of the range and ended its first trading day up 4%.
• Care.com, the world's largest online marketplace for finding and managing family care, priced above the range and saw a first-day gain of 43%.
• North Atlantic Drilling, an offshore drilling company focused on operations in the North Atlantic Region, priced at the mid-point of the range and declined 8% on its first day.
• Celladon, a clinical-stage biotechnology company applying its leadership position in the field of calcium dysregulation by targeting SERCA enzymes to develop novel therapies for diseases with unmet medical needs, priced an IPO upsized by 10% at the estimated offering price and ended its first day with a 2% gain.
• Dicerna Pharmaceuticals, a biopharmaceutical company focused on the discovery and development of innovative treatments for rare inherited diseases involving the liver and for cancers that are genetically defined, priced above expectations and gained 207% on its first day of trading. Only one IPO since 2000 has enjoyed a higher first-day gain.
• Cara Therapeutics, a clinical-stage biopharmaceutical company focused on developing and commercializing new chemical entities designed to alleviate pain by selectively targeting kappa opioid receptors, priced at the low end of the range and ended its first day up 17%.
• Intrawest Resorts Holdings, a North American mountain resort and adventure company, priced below the range and declined 1% on its first day.
• Malibu Boats, a leading designer, manufacturer and marketer of performance sport boats, priced at the midpoint of the range and ended its first day with a 27% gain.
• The New Home Company, a new generation homebuilder focused on the design, construction and sale of innovative and consumer-driven homes in major metropolitan areas within select growth markets in California, priced below the range and gained 11% on its first trading day.
• Trevena, a clinical stage biopharmaceutical company that discovers, develops and intends to commercialize therapeutics that use a novel approach to target G protein coupled receptors, priced an IPO upsized by 9% at the expected price and ended its first day down 7% from its offering price.
• Ultragenyx Pharmaceutical, a development-stage biopharmaceutical company focused on the identification, acquisition, development, and commercialization of novel products for the treatment of rare and ultra-rare diseases, with an initial focus on serious, debilitating metabolic genetic diseases, priced an IPO upsized by 19% above the range and saw a first-day gain of 102%.

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The IPO market regained some of its luster in 2013. Highlights for the year included:

• The year produced 178 IPOs—the third highest annual total since 2000, trailing only the 198 IPOs in 2004 and 193 IPOs in 2007.
• The final three quarters of 2013 each produced 50 or more IPOs—a level of consistently high activity not seen since 2000.
• The six billion-dollar IPOs in 2013 represented the highest annual tally since 2004, when there were seven billion-dollar IPOs.
• The 21% average first-day gain in 2013 was the best annual figure since the 53% average first-day gain in 2000.
• There were six "moonshots" (an IPO that doubles in price on its opening day) in 2013. The 12-year period from 2001 to 2012 produced a total of only 11 moonshots, with no single year seeing more than a pair.
• The average year-end gain of 47% for all IPOs in 2013 was the highest annual figure since the dot-com era.

From 2003 to 2012, December was on average the second busiest month for IPOs, trailing only November. On the heels of three consecutive months with at least 20 IPOs, the December 2013 IPO market produced only 11 IPOs—the lowest monthly total since April 2013 but only two IPOs below the December average over the preceding 10 years.

Gross proceeds of $4.37 billion for December were lifted by Hilton's $2.35 billion IPO—the largest IPO of 2013. The year's gross proceeds of $41.27 billion were 18% above the 2012 total of $35.11 billion and the second highest annual level since 2000, behind only the $43.33 billion in 2007.

The 2013 IPO market was dominated by emerging growth companies (EGCs), which produced 82% of all IPOs—slightly higher than the 76% market share for EGC IPOs in 2012 following the enactment of the JOBS Act in April 2012.

The number of IPOs by venture capital–backed US issuers increased 39%, from 51 in 2012 to 71 in 2013—a single IPO below the post-boom peak of 72 in 2007. The number of IPOs by private equity–backed US issuers increased by 75%, from 28 in 2012 to 49 in 2013—only three below the 52 in 2006 (the highest tally since at least 1996). VC-backed and PE-backed company IPOs accounted for 50% and 35%, respectively, of all US-issuer IPOs in 2013.

December capped the year with three life sciences IPOs, bringing the year's total to 50—28% of all IPOs, and seven more than the aggregate of 43 life sciences IPOs in the three years between 2010 and 2012.

The average IPO company enjoyed a 21% first-day gain from its offering price in 2013, surpassing the 16% average first-day gain for all IPOs in 2012. The percentage of "broken" IPOs (IPOs whose stock closes below the offering price on their opening day) rose from 20% in 2012 to 22% in 2013 but still represented the second lowest percentage of broken IPOs since 2006.

The average 2013 IPO ended the year 47% above its offering price compared to the year-end gains of 26%, 38% and 30%, respectively, for the Dow Jones Industrial Average, Nasdaq Composite Index and S&P 500.

The median offering size of $107.4 million in 2013 was 14% higher than the median offering size of $94.3 million in 2012. The median deal size for VC-backed companies was $78.0 million—the lowest level since the $72.0 million median in 2006—while the median deal size for non-VC backed companies was $226.7 million, 55% higher than the prior 10-year average of $146.0 million. The median deal size for EGCs, at $95.9 million, was less than a quarter of the $419.1 million median deal size for other IPO companies.

The median annual revenue of IPO companies decreased by one-third, from $133.6 million in 2012 to $89.9 million in 2013—the lowest level since the $74.5 million median in 2007. Emerging growth companies had median annual revenue of $61.5 million compared to $2.54 billion for other companies. Median annual revenue for EGCs in 2013 was down 43% from the $107.8 million in 2012, in part due to the higher number of life sciences IPOs. Life sciences IPO companies in 2013 had median annual revenue of just $10.0 million, although this was more than quadruple the $2.4 million figure over the prior three-year period.

With interest rates at historic lows and investors more eager for growth than profitability, the percentage of profitable IPO companies declined from 55% in 2012 to 43% in 2013—the lowest level since the 26% in both 1999 and 2000. Only 27% of this year's life sciences and technology related IPO companies were profitable.

IPO activity in December consisted of offerings by the following companies listed in the order they came to market:

• Xencor, a clinical-stage biopharmaceutical company focused on discovering and developing engineered monoclonal antibodies to treat severe and life-threatening diseases with unmet medical needs, priced an upsized IPO at a lower revised price and produced a first-day gain of 52%.
• Kofax, a leading provider of smart process applications software and related maintenance and professional services, priced within the range and ended its first day with a gain of 14%.
• Autohome, the leading online destination for automobile consumers in China, priced above an upwardly revised price range and gained 77% on its first day.
• ARAMARK, a leading global provider of food, facilities and uniform services to education, healthcare, business and industry and sports, leisure and corrections clients, priced at the low end of the range and saw a first-day gain of 14%.
• Hilton Worldwide, one of the largest and fastest growing hospitality companies in the world, priced an IPO upsized by 4% within the range and ended its first day of trading up 8%.
• Kindred Biosciences, a development-stage biopharmaceutical company focused on saving and improving the lives of pets, priced an IPO upsized by 30% at the midpoint of the range and gained 71% on its opening day.
• Scorpio Bulkers, an international shipping company operating the latest generation of dry bulk carriers, more than doubled the number of shares offered and declined 3% on its first trading day.
• TetraLogic Pharmaceuticals, a clinical-stage biopharmaceutical company focused on discovering and developing novel small molecule therapeutics, priced an IPO upsized by 10% at the estimated offering price and ended its first day flat.
• Fidelity & Guaranty Life, a provider of fixed annuities and life insurance products, priced at the low end of the range and gained 11% on its opening day.
• Nimble Storage, which has designed and sells a flash-optimized hybrid storage platform, priced above the range and ended its first trading day with a gain of 62%.
• AMC Entertainment, one of the world's largest theatrical exhibition companies, priced at the low end of the range and saw a first-day gain of 5%.

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The November IPO market produced 24 IPOs—the highest monthly count for 2013 and the second highest number of November IPOs since 1999, lagging only the 28 IPOs in November 2006. The November 2013 total was also the eighth highest number of IPOs for any calendar month since the end of 2000.

In the 12-year period from 2001 to 2012, there were a total of only 14 weeks with 10 or more IPOs. The first week of November saw 11 IPOs—the highest weekly number of IPOs since November 2007 and the third week in 2013 with a double-digit IPO count.

The first 11 months of 2013 have produced 167 IPOs, 64% more than the 102 IPOs in full-year 2012, and two IPOs above the January–November average of 165 IPOs recorded between 2004 and 2007—a period with an annual average of 186 IPOs.

Gross proceeds of $5.28 billion for November represented the second highest monthly figure for 2013, reflecting the month's high IPO count but also buoyed by Twitter's $1.82 billion IPO and large offerings from Extended Stay America ($565 million) and Avianca Holdings ($409 million). Year-to-date gross proceeds of $36.90 billion are now 5% above the 2012 full-year total of $35.11 billion and the highest level since the $43.33 billion for full-year 2007.

The IPO market remains dominated by emerging growth companies (EGCs), which produced 83% of all IPOs in the first 11 months of 2013—slightly higher than the 76% market share for EGC IPOs in 2012 following the enactment of the JOBS Act in April 2012.

VC-backed and PE-backed company IPOs accounted for 40% and 31%, respectively, of all IPOs in the first 11 months of the year.

Despite seven life sciences IPOs being postponed in the month, November produced four life sciences IPOs, bringing the year-to-date total to 47—28% of all IPOs and four more than the total of 43 life sciences IPOs in the three-year period between 2010 and 2012.

The average IPO company in the first 11 months of 2013 has enjoyed a 21% first-day gain from its offering price—surpassing the 16% average first-day gain for full-year 2012. In this period, 23% of IPOs were "broken," the second lowest percentage of broken IPOs since 2007 and behind only the 20% in all of 2012. November IPOs faced a stiffer headwind compared to IPO earlier in the year, with an average first day gain of 16% and eight of the month's IPO (33%) ending below their offer price on their first day.

The average 2013 IPO ended the month 36% above its offering price, compared to the year-to-date gains of 23% and 34%, respectively, for the Dow Jones Industrial Average and Nasdaq Composite Index.

The year-to-date median offering size of $106.0 million is 12% above the full-year 2012 figure of $94.3 million. The median deal size for VC-backed companies was $78.4 million—the lowest level since the $72.0 million median in 2006—while the median deal size for non-VC backed companies was $222.2 million, 52% higher than the prior 10-year average of $146.0 million. The median deal size for emerging growth companies, at $96.4 million, was less than a quarter of the $419.1 million median deal size for other IPO companies.

The median annual revenue of IPO companies decreased by a third, from $133.6 million in 2012 to $89.1 million in the first 11 months of 2013—the lowest level since the $74.5 million median in 2007. Emerging growth companies had median annual revenue of $63.8 million compared to $2.36 billion for other companies. Life sciences IPO companies in the first 11 months of the year had median annual revenue of just $10.6 million.

With interest rates at historic lows and investors more eager for growth potential than profitability, the percentage of profitable IPO companies has declined from 55% in 2012 to 43% in 2013—the lowest level since the 26% in both 1999 and 2000. Only one-fourth of this year's life sciences and technology related IPO companies were profitable.

November IPO activity consisted of offerings by the following companies listed in the order they came to market:

• Panama-based Avianca Holdings, a leading airline in Latin America, priced below the range and ended its first day 7% below its offering price.
• Barracuda Networks, a provider of cloud-connected security and storage solutions, priced at the low end of the range and saw a first-day gain of 20%.
• Blue Capital Reinsurance Holdings, a Bermuda reinsurance holding company seeking primarily to offer collateralized reinsurance in the property catastrophe market, priced at the estimated offering price and ended its first day down 6%.
• Karyopharm Therapeutics, a clinical-stage pharmaceutical focused on the discovery and development of novel first-in-class drugs directed against nuclear transport targets for the treatment of cancer and other major diseases, priced an IPO upsized by 20% at the high end of the range and ended its first day slightly above its offering price.
• Wix.com, a leading global web development platform, priced at the high end of the range and declined 1% on its first day.
• LGI Homes, a homebuilder engaged in the design and construction of entry-level homes in Texas, Arizona, Florida and Georgia, priced below the range and saw a first-day gain of 13%.
• Mavenir Systems, a leading provider of software-based telecommunications networking solutions, priced below the range and ended its first day down 4%.
• Norcraft Companies, a leading manufacturer of kitchen and bathroom cabinetry in the US and Canada, priced an IPO upsized by 9% at the low end of the range and saw a first-day loss of 3%.
• Twitter, a global platform for public self-expression and conversation in real time, priced above the range and ended its first trading day up 73%.
• JGWPT Holdings, a leading direct response marketer that provides liquidity to its customers by purchasing structured settlement, annuity and lottery payment streams in the United States, priced below the range and declined 8% on its first day.
• NMI Holdings, a provider of private mortgage insurance in the United States, priced at the high end of the range and saw a first-day gain of 8%.
• Chegg, a leading student-first connected learning platform, priced above the range and declined 23% on its first day.
• Eros International, a leading global company in the Indian film entertainment industry, priced a downsized IPO below the range and ended its first day down 1%.
• Extended Stay America, the largest owner and operator of company-branded hotels in North America, priced within the range and saw a first-day gain of 19%.
• Houghton Mifflin Harcourt, a leading global provider of education solutions, priced below the range and gained 32% on its first day.
• Tandem Diabetes Care, a medical device company with an innovative approach to the design, development and commercialization of products for people with insulin-dependent diabetes, priced an IPO upsized by 12% at the high end of the range and ended its first day with a 28% gain.
• Relypsa, a pharmaceutical company focused on the development and commercialization of non-absorbed polymeric drugs to treat disorders in the areas of renal, cardiovascular and metabolic diseases, priced below the estimated offering price and saw a first-day gain of 10%.
• zulily, a flash sales site launched with the goal of revolutionizing the way moms shop for children's apparel and other products, priced above an upwardly revised range and gained 71% on its first day.
• Evogene, a plant genomics company that uses a comprehensive and integrated technology infrastructure to enhance seed traits underlying crop performance and productivity, gained 17% on its first day.
• Navigator Holdings, the owner and operator of the world's largest fleet of handysize liquefied gas carriers, priced an upsized IPO at the high end of the range and saw a first day-gain of 20%.
• 500.com, a leading online sports lottery service provider in China, priced at the high end of an upwardly revised price range and gained 54% on its first day.
• Oxford Immunotec, a global, commercial-stage diagnostics company committed to improving patient care by providing advanced, innovative tests in the field of immunology, priced below the range and ended its first day up 28%.
• Sungy Mobile, a leading provider of mobile internet products and services globally with a focus on applications and mobile platform development, priced within the range and saw a first-day gain of 19%.
• Vince, a diversified apparel company that designs, manufactures, and markets a collection of fashion brands, priced above the range and gained 43% on its first day.

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Despite the government shutdown and uncertainty regarding the debt ceiling, the IPO market produced 22 IPOs in October—eight more than the 14 IPOs in October 2012 and the highest number for any month since the 24 IPOs in November 2007. Filing activity also appears not to have been impeded, with IPO filings in the month equal to September's total and the highest October total since 2000.

The October IPO count brings the year-to-date total to 143 IPOs, 40% higher than the 102 IPOs in full-year 2012, and a single IPO behind the January–October average of 144 IPOs recorded between 2004 and 2007—a period with an annual average of 186 IPOs.

October's gross proceeds of $5.79 billion was the highest monthly figure for 2013 and the fifth highest monthly figure since the start of 2008. Year-to-date gross proceeds of $31.62 billion now trail the $34.15 billion gross proceeds through the first 10 months of 2012 by only 7%—the 2012 figure buoyed by Facebook's $16.0 billion offering.

Emerging growth companies (EGCs) continue to dominate the IPO market, accounting for 83% of all IPOs through October—slightly higher than the 76% market share claimed by EGC IPOs last year, following the enactment of the JOBS Act in April 2012.

The "moonshots" (an IPO that doubles in price on its opening day) by The Container Store, Potbelly and Voxeljet bring the 2013 count to six. The three were up 101%, 120% and 122%, respectively, on their first day—the second, third and sixth best first-day gains of the year. No other year has seen more than a pair of moonshots since the tally of 85 in 2000, and there have been a total of only 11 moonshots in the intervening years. The average IPO company in the first 10 months of 2013 has enjoyed a 22% first-day gain from its offering price—surpassing the 16% average first-day gain for full-year 2012. In this period, 22% of IPOs were "broken" (IPOs whose stock closes below the offering price on their opening day), compared to 20% in all of 2012, but this percentage still represents the second-lowest level of broken IPOs since 2007.

At the end of October, the average 2013 IPO company was trading 39% above its offering price and 32% of the year's IPOs were trading at least 50% above their offering price. Overall, 75% of the year's IPOs were trading above their offering price at October month-end.

The median deal size for October IPOs of $222.5 million was more than twice the year-to-date median of $105.0 million—partly explaining the high gross proceeds for the month. The year-to-date median offering size is 11% above the full-year 2012 figure of $94.3 million. The median deal size for VC-backed companies was $78.4 million—the lowest level since the $72.0 million median in 2006—while the median deal size for non-VC backed companies was $230.0 million, 58% higher than the prior 10-year average of $146.0 million.

The median annual revenue of IPO companies in 2013 remains well below the 2012 level, reflecting the higher percentage of emerging technology and life sciences companies going public. Median annual revenue decreased by a third, from $133.6 million in 2012 to $89.1 million in the first 10 months of 2013—the lowest level since the $74.5 million median in 2007. Life sciences IPO companies in the first 10 months of the year had median annual revenue of just $11.6 million. EGCs completing IPOs had median annual revenue of $63.6 million, compared to $2.48 billion for other companies.

The percentage of profitable companies going public declined from 55% in 2012 to 43% in the first 10 months of 2013—the lowest level since the 26% in both 1999 and 2000.

October IPO activity consisted of offerings by the following companies listed in the order they came to market:

• Burlington Stores, a national off-price retailer of high quality branded apparel, priced above the range and ended its first day with a 47% gain.
• RE/MAX Holdings, one of the world's leading franchisors of real estate brokerage services, priced above the range and saw a first-day gain of 23%.
• Potbelly, a fast-growing neighborhood sandwich concept offering toasty warm sandwiches, signature salads and other fresh menu items, priced above the range and soared 120% on its first day.
• LDR Holding, a global medical device company focused on designing and commercializing novel and proprietary surgical technologies for the treatment of patients suffering from spine disorders, priced within the range and gained 29% on its first day.
• SFX Entertainment, a producer of live events and entertainment content focused exclusively on the electronic music culture, priced an IPO upsized by 20% at the top end of the range and saw a first-day loss of 9%.
• Antero Resources, an independent oil and natural gas company, priced an IPO upsized by 19% above the range and ended its first day with a gain of 18%.
• MacroGenics, a biopharmaceutical company focused on discovering and developing innovative monoclonal antibody-based therapeutics for the treatment of cancer and autoimmune diseases, priced an IPO upsized by 25% at the top of the range and gained 56% in first-day trading.
• Stonegate Mortgage, a non-bank, integrated mortgage company, pricing a downsized IPO below the range and saw a first-day gain of 14%.
• Consumer finance company Springleaf Financial priced an upsized IPO at the high end of the range and gained 13% on its first day.
• Veeva Systems, a provider of industry-specific, cloud-based software solutions for the life sciences industry, priced above an upwardly revised range and ended its first day up 86%.
• Germany-based Voxeljet, a provider of high-speed, large-format 3D printers and on demand parts services, priced at the low end of the range and jumped 122% on its first day—the first company since 1999 to double on its first day after pricing at the low end of its range.
• Aerie Pharmaceuticals, a clinical-stage pharmaceutical company focused on the discovery, development and commercialization of first-in-class therapies for the treatment of patients with glaucoma and other diseases of the eye, priced an IPO upsized by 28% below the range and saw a first-day gain of 6%.
• CommScope Holding, a global provider of connectivity and essential infrastructure solutions for wireless, business enterprise and residential broadband networks, priced below the range and ended its first day one cent shy of its offering price.
• Endurance International Group, a provider of cloud-based solutions designed to help small- and medium-sized businesses, establish, manage and grow their businesses, priced below the range and declined 6% on its first day.
• Paris-based Criteo, an ad tech company that enables e-commerce companies to leverage large volumes of granular data to efficiently and effectively engage and convert their customers, priced an IPO upsized by 12% above an upwardly revised price range and saw a first-day gain of 14%.
• Surgical Care Affiliates, an operator of one of the largest networks of outpatient surgery facilities in the United States, priced at the top of the range and ended its first day up 13% from its offering price.
• Veracyte, a diagnostics company pioneering the field of molecular cytology to improve patient outcomes and lower healthcare costs, priced an IPO upsized by 6% at the low end of the range and saw a first-day gain of 2%.
• 58.com, an online marketplace serving local merchants and consumers in China, priced above an upwardly revised price range and ended its first day up 42%.
• Essent Group, a private mortgage insurance company, priced above the range and saw a first-day gain of 26%.
• Marcus & Millichap, a national brokerage firm specializing in commercial real estate investment sales, financing, research and advisory services, priced below the range and ended its first day with a 12% gain.
• Qunar, the leading search-based commerce platform for the travel industry in China, priced above the range and saw a first-day gain of 89%.
• The Container Store Group, the leading specialty retailer of storage and organization products in the United States, priced at the top end of an upwardly revised range and ended its first day up 101%.

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The 2013 IPO market saw the largest number of September IPOs since 2000, ending the month with 20 IPOs—the second highest monthly total since the end of 2010—despite being dormant in the two weeks following Labor Day. The month's total was triple the September average over the past 10 years.

The IPO market has produced 121 IPOs during the first three quarters of 2013—39 more (48%) than the 82 IPOs completed in the first three quarters of 2012 and nine more than the annual average of 112 IPOs that has prevailed for the past three years. The year-to-date 2013 total is only four IPOs below the average January–September tally recorded between 2004 and 2007—a period with an annual average of 186 IPOs.

With gross proceeds of $3.27 billion in September, the year-to-date IPO proceeds of $25.83 billion trail the $30.60 billion of proceeds in the first three quarters of 2012, a drop largely due to the inclusion of Facebook's $16.0 billion offering in the 2012 tally.

Emerging growth companies (EGCs) continue to dominate the IPO market, accounting for 82% of all IPOs in the first three quarters of 2013—slightly higher than the 76% market share claimed by EGC IPOs last year, following the enactment of the JOBS Act in April 2012.

There were 53 venture-backed US issuer IPOs (44% of the total) in the first three quarters of 2013, compared to 41 in the first three quarters of 2012 (50% of the total) and 51 for all of 2012 (50% of the year's total).

The market's appetite for life sciences companies continued unabated with eight life sciences IPOs in the month. The first nine months of 2013 have now seen 39 IPOs by life sciences companies—blowing by the full-year total of 14 in both 2011 and 2012. While talk of a "biotech IPO bubble" remains and some life sciences companies have priced upsized IPOs above the price range, others have been forced to slash their deal size and price range, indicating the market remains selective and is assessing the value of each IPO on its individual merits.

With private equity–backed IPOs performing well in the aftermarket and private equity firms eager to achieve liquidity for their portfolio companies, the number of PE-backed IPOs jumped to 38 in the first three quarters of 2013 (32% of the total)—10 more than the full-year 2012 total (28% of all 2012 IPOs).

Overall, technology and life sciences companies have accounted for 65% of the year's IPOs thus far, up from 58% for full-year 2012 and the highest percentage since the end of the dot-com bubble in 2000.

September saw the third, fourth, fifth and sixth best first-day gains of the year and only four IPOs were "broken" (IPOs whose stock closes below the offering price on their opening day). The average IPO company in the first three quarters of 2013 enjoyed a 19% first-day gain from its offering price—eclipsing the 16% average first-day gain for full-year 2012. In the first three quarters of 2013, 37 companies—31% of the total—produced a first-day gain of at least 25%. In this period, 23% of IPOs were "broken", compared to 20% in all of 2012, but this percentage still represents the second-lowest level of broken IPOs since 2007.

At the end of September, the average 2013 IPO company was trading 44% above its offering price and 36% of the year's IPOs were trading at least 50% above their offering price—including 13% that were up more than 100% from their offering price. Overall, 77% of the year's IPOs were trading above their offering price as of September 30.

The median deal size of $101.2 million for the first three quarters of 2013 was 7% higher than the $94.3 million median in full-year 2012. The median deal size for VC-backed companies was $77.5 million—the lowest level since the $72.0 million median in 2006—while the median deal size for non-VC backed companies was $226.1 million, 55% higher than the prior 10-year average of $146.0 million. The median deal size for EGCs, at $81.6 million, was less than a fifth of the $436.3 million median deal size for other companies.

The median annual revenue of IPO companies in 2013 remains well below the 2012 level, in part due to the high percentage of life sciences companies going public. Median annual revenue decreased 39%, from $133.6 million in 2012 to $81.7 million in the first three quarters of 2013, representing the lowest level since the $74.5 million median in 2007. Life sciences IPO companies in the first three quarters of the year had median annual revenue of just $10.6 million. EGCs completing IPOs had median annual revenue of $53.7 million, compared to $2.36 billion for other companies.

The percentage of profitable companies going public declined from 55% in 2012 to 42% in the first three quarters of 2013—the lowest level since the 26% in both 1999 and 2000. With investor focus shifting to growth over profitability, only 26% of this year's life sciences and technology-related IPO companies were profitable.

September IPO activity consisted of offerings by the following companies listed in the order they came to market:

• BenefitFocus, a private equity–backed provider of an integrated suite of cloud-based benefits software solutions for consumers, employers, insurance carriers and brokers, priced an IPO upsized by almost 10% above the range and saw a first-day gain of 102%.
• Five Prime Therapeutics, a clinical-stage biotechnology company focused on discovering and developing novel protein therapeutics, antibodies or drugs developed from extracellular proteins or protein fragments that block disease processes, including cancer and inflammatory diseases, priced an IPO upsized by 20% within the range and gained 1% on its first day.
• Volaris Aviation Holding, a low-cost airline based in Mexico, priced at the low end of the range and traded up 17% on the first day.
• Acceleron Pharma, a clinical stage biopharmaceutical company focused on the discovery, development and commercialization of novel protein therapeutics for cancer and rare diseases, priced an IPO upsized by 20% at the top of the range and ended its first day of trading up 33%.
• Bind Therapeutics, a clinical-stage nanomedicine platform company developing targeted and programmable therapeutics, priced in the middle of the range and saw a first-day gain of less than 1%.
• ClubCorp Holdings, a membership-based leisure business and a leading owner-operator of private golf, country, business, sports and alumni clubs in North America, priced below the range and increased 4% in first-day trading.
• FireEye, a provider of a virtual machine-based security platform that provides real-time protection to enterprises and governments worldwide against cyber-attacks, priced an upsized IPO above an already upwardly revised price range and enjoyed a first-day gain of 80%.
• Rocket Fuel, a provider of an artificial intelligence and big data–driven predictive modeling and automated decision-making platform, priced at the high end of an upwardly revised range and jumped 93% in first-day trading.
• Evoke Pharma, a specialty pharmaceutical company focused primarily on the development of drugs to treat gastrointestinal disorders and diseases, priced at the low end of the range and traded down 2% on its first day.
• Foundation Medicine, a provider of a molecular information platform for analyzing tumor tissue samples across all types of cancer, priced an IPO upsized by 18% above the range and soared 96% in first-day trading.
• Ophthotech, a biopharmaceutical company specializing in the development of novel therapeutics to treat diseases of the eye, priced an IPO upsized by 33% above an upwardly revised price range and ended its first day up 20%.
• Applied Optoelectronics, a vertically integrated provider of fiber-optic networking products for cable television, fiber-to-the-home and internet data centers, priced below the range and saw a first-day loss of less than 1%.
• Covisint Corporation, a provider of a cloud engagement platform for enabling organizations to securely connect, engage and collaborate with large, distributed communities of customers, business partners and suppliers, priced within the range and traded up 23% on the first day.
• Montage Technology Group, a global fabless provider of analog and mixed-signal semiconductor solutions currently addressing the home entertainment and cloud computing markets, priced below the range and saw a first-day gain of 28%.
• Premier, a national healthcare alliance, priced above the range and gained 14% on its first day.
• Enzymotec, a biotechnology company that develops and produces biofunctional ingredients to address health needs associated with the human life cycle, priced below the range and ended its first day up 30%.
• Pattern Energy Group, an independent power company focused on owning and operating power projects, priced above the range and saw a first-day gain of 6%.
• RingCentral, a provider of software-as-a-service solutions for business communications, priced at the top end of the range and ended its first day up 40%.
• Violin Memory, a provider of flash-based memory storage solutions, priced in the middle of the range and declined 22% on its first day.

Despite the Federal Reserve's decision not to scale back its bond-buying program, the recent government shutdown and political brinkmanship over raising the country's debt limit that ended with only a short-term solution suggests there may be some market turbulence on the horizon. The currently robust pipeline, however, points to an active fourth quarter with a number of eagerly anticipated IPOs.

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The August 2013 IPO market flourished in the first half of the month before almost completely shutting down, as it traditionally does, during the last two weeks. The month produced 15 IPOs—almost 70% above the August average over the past 10 years and equal to the monthly tally in August 2007, the recent high point for August IPOs. Since 2000, there have been a total of only four IPOs in the two weeks prior to Labor Day.

Gross proceeds were $3.11 billion in August, bringing year-to-date gross proceeds to $22.53 billion.

The number of IPOs in 2013 year-to-date has now passed the full-year total of 97 IPOs in 2011 and is only one shy of the 102 IPOs in all of 2012. With the arrival of fall, the IPO market appears poised to resume its brisk pace, with a number of companies already on the September calendar.

The IPO market remains dominated by emerging growth companies (EGCs), accounting for 78% of all IPOs in the first eight months of 2013—similar to the 76% market share for EGC IPOs in 2012 following the enactment of the JOBS Act in April 2012.

VC-backed and PE-backed company IPOs accounted for 42% and 33%, respectively, of all IPOs in the first eight months of the year.

After the surge in life sciences IPOs over the first seven months of 2013, August saw only a trio of new life sciences offerings—two pricing below the initial price range. Filing activity for life sciences companies, however, remains brisk with six new filings in August. Year-to-date there have been 31 life sciences IPOs—31% of the year's total.

The median deal size of $101.2 million for the first eight months of 2013 was 7% higher than the $94.3 million median in full-year 2012. The median deal size for VC-backed companies was $77.8 million—the lowest level since the $72.0 million median in 2006—while the median deal size for non-VC backed companies was $217.5 million—almost a third higher than the 2012 figure. The median deal size for EGCs, at $80.5 million, was less than a fifth of the $436.3 million median deal size for other companies.

The median annual revenue of IPO companies in 2013 remains well below the 2012 level, in part due to the high percentage of life sciences companies going public. Median annual revenue decreased 37%, from $133.6 million in 2012 to $84.3 million in 2013 to date—the lowest level since the $74.5 million median in 2007. Life sciences companies going public so far this year had median annual revenue of just $15.5 million. EGCs completing IPOs year-to-date had median annual revenue of $53.4 million, compared to $2.36 billion for other companies.

The average IPO in the first eight months of 2013 saw a 17% first-day gain from its offering price—just eclipsing the average 16% first-day gain for full-year-2012. Year-to-date, 29 companies—29% of the total—have produced a first-day gain of at least 25%. Eleven IPOs enjoyed a first-day gain of at least 50%, including five IPOs by life sciences companies. On the other end of the spectrum, 24 IPOs have been "broken" (IPOs whose stock closes below the offering price on their opening day), compared to 20% in all of 2012. Only two of the 14 IPOs in August 2013 were broken, with a further one flat on its first day.

The percentage of profitable companies going public has drifted down from 55% in 2012 to 46% in 2013 year-to-date, with only 16% of the life sciences companies completing IPOs showing a profit in their most recent fiscal year.

At August month-end, the average 2013 IPO was trading up 33% from its offering price, and 46% of the year's IPOs were trading 25% or more above their offering price, including 28% up more than 50% from their offering price. The average IPO in the first eight months of 2013 has gained 13% from the first-day close to August month-end.

August IPO activity consisted of offerings by the following companies listed in the order they came to market:

• Athlon Energy, a private equity–backed independent oil and gas exploration and production company operating in the Permian Basin, priced at the top of the range and saw a first-day gain of 38%.
• Control4, a provider of home automation and control solutions, priced at the midpoint of the range and ended its first day up 25%.
• Marrone Bio Innovations, a producer of bio-based pest management and plant health products, priced an IPO upsized by 13% below the range and produced a first-day gain of 15%.
• YuMe, a provider of digital video brand advertising solutions, priced below the range and ended its first day flat.
• Fox Factory Holding, a private equity–backed designer, manufacturer and marketer of high-performance suspension products used on mountain bikes and off-road vehicles, priced at the top of the range and saw a first-day gain of 24%.
• Intrexon, which is developing synthetic biology technologies to improve drugs and food, priced an IPO upsized by 20% at the high end of the range and ended its first day up 55%.
• Cvent, a provider of a cloud-based enterprise event management platform, priced above the range and enjoyed a first-day gain of 57%.
• Frank's International, a global provider of tubular services to the oil and gas industry, priced above the range and gained 20% on its first day.
• MiX Telematics, a global provider of fleet and mobile asset management solutions delivered as software-as-a-service, priced at the top of the range and saw a first-day gain of 13%.
• Stock Building Supply Holdings, a private equity–backed diversified lumber and building materials distributor and solutions provider, priced an IPO downsized by 21% below the range but produced a first-day gain of 3%.
• China Commercial Credit, which provides loans and loan guarantee services to small to-medium sized businesses in the Jiangsu Province of China, priced an IPO downsized by almost 50% and declined 2% on its first day only to double in trading the following day to end its second trading day 95% above its offering price.
• Envision Healthcare Holdings, a private equity–backed provider of physician-led, outsourced medical services, priced an IPO upsized by 20% at the top of the range and saw a first-day gain of 9%.
• Bermuda-based Third Point Reinsurance, a private equity–backed property and casualty reinsurer, priced an IPO trimmed by less than 1% at the low end of the range and traded up 4% on the first day.
• Sophiris Bio, a clinical-stage biopharmaceutical company focused on developing innovative products for the treatment of urological diseases, priced an upsized IPO at a lower revised price maintaining expected proceeds, and declined 17% on its first day.
• Regado Biosciences, a biopharmaceutical company focused on the discovery and development of novel, first-in-class, actively controllable antithrombotic drug systems for acute and sub-acute cardiovascular indications, priced an upsized IPO below a downwardly revised price and saw a first-day gain of 18%.

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