Skittish Investors Pull the Rug Out From Under Pricey US IPOs
- Amer and BrightSpring both sold shares below marketed ranges
- Share pops by smaller biotechs CG Oncology and Alto spark hope
Wilson tennis rackets for sale at a store in New York.
Photographer: Jeenah Moon/BloombergWall Street has been talking up a much-needed revival of firms tapping markets for the first time after a two-year dearth of initial public offerings. But when it came to two of the three biggest debuts so far this year, investors didn’t want to hear it.
Amer Sports Inc., the maker of Wilson tennis rackets and Salomon ski boots, raised $1.37 billion in its IPO — the biggest US listing since October, but priced at $13 per share, below the range it had proposed. The underwhelming IPO came less than a week after KKR & Co.-backed BrightSpring Health Services Inc. raised $693 million from selling shares while also pricing them under a marketed range — and worse, slumped 15% in its first trading day.