PwC: Expect A "Robust" IPO Market in 2010
PricewaterhouseCoopers today published a 28-page report that looks back at the past year's IPO market, and suggests that the second half's momentum will be built upon in 2010. Here's the key graphs, in regard to U.S. offerings: While January and February are often quiet, we expect substantial IPO activity prior to the dog days of summer and robust deal flow throughout the atumn. We foresee a continuing contribution of deals from financial sponsors as private equity firms look to harvest investments made during the "heyday" of leveraged M&A activity that preceded the credit crisis. We expect IPOs from the technology sectors, including biotech, as well as financial services, healthcare and retail and consumer deals. Green energy/technology deals may be the "wild card" for 2010, depending upon how policymakers elect to support a low-carbo economy. PwC adds that companies trying to go public in 2010 must pay particular attention to their abilities to meet short-term market expectations. This might sound obvious, but many private companies assume
