Week in Review: IPO Rally, Volcker, and Pensions

There has been a lot of talk recently around IPOs — and it all seems warranted. According to a recent WSJ article, “October was the busiest month for U.S.-listed IPOs since 2007, with 33 companies raising more than $12 billion.” The activity was continued this week with Twitter’s $1.82 billion IPO, the second largest tech IPO since Facebook in May 2012. There are already rumors of Square exploring an IPO for 2014.

As it turns out, private equity may have contributed meaningfully to the rally by seizing the opportunity to exit on many pre-2008 investments. Many fear that the surge will be short-lived, given the liquidity boost from the Fed.

In other news, Brentwood Associates acquired Allen Edmonds, Barracuda Networks went public, and banks need to start preparing for the Volcker deadline.

Opinions:

• Endowments are cutting their exposures to alternatives
• Is fin-tech for the underbanked the next M&A hot spot?
• Two little words to close more sales
• Are banks ready for the nearing Volcker deadline?
• Why a pension case will not change private equity tax law
• How to raise capital by going public with a reverse merger
• The five ‘C’s of small business lending

Transactions:

• Low bids cause Crestview to pull the Munder auction
• Nestle to sell Jenny Craig in a corporate carve out to North Castle
• Brentwood Associates to acquire Allen Edmonds Corporation
• Rimrock Midstream closes acquisition of El Dorado Storage Terminal
• Dice Holdings acquires onTargetjobs
• PE-backed Rizzo Environmental acquires Royal Oak Recycling
• Bacchus to launch BCM Wineworks
• Barracuda Networks launches IPO at $18 per share
• Monroe Capital provides $27.5 million to Gem Shopping Network

Member Spotlight:

Focus Acquisition Partners is a buy-side advisor and private equity sponsor representing a network of private equity groups, family offices, and strategic investors. Together these groups manage in excess of $100 billion in capital and represent a breadth of industry experience and investment styles. Focus is industry agnostic and seeks profitable companies for buyout, recapitalization and growth capital investments.

As a buy-side intermediary in the deal making process Focus Acquisition Partners excels at working alongside investment bankers and brokers to bring the most capable buyers in the most efficient manner possible. To date, the firm has completed 23 transactions totaling approximately $700 million in enterprise value. As you prepare to go to market with your next deal, please consider Focus as a resource for connecting with the most experienced and capable investors.

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Thanks to Patrick Poendl / Shutterstock.com for the photo.