Wave of IPOs file in spite of market turmoil

A wave of IPOs submitted initial filings over the past week, despite the stock market having its worst week since 2008.
Most filed on Friday, meaning they will be able to launch as soon as Monday, March 16, and schedule IPOs for the last week of March. During periods of high volatility, companies often need to price at a steep discount. These latest filers are either willing to take a price cut, are optimistic about the market, or are optimistic about how the market will react to them.
Healthcare benefits management software platform Accolade (ACCD) filed to raise $100 million. Backed by a16z, Accolade is unprofitable (-33% adj. EBITDA), though recent health benefits IPO Progyny (PGNY) has outperformed since its offering.
ORIC Pharmaceuticals (ORIC), a Phase 1 oncology biotech, filed to raise $86 million. The San Francisco-based company’s lead product candidate, ORIC-101, is a small molecule therapy designed to make prostate cancer therapies more effective. Interim data from ORIC-101’s Phase 1b trial is expected by the 1H21.
Pulmonary medical device maker Pulmonx (LUNG) also filed to raise $86 million. Backed by Boston Scientific, the company received pre-market approval for its severe emphysema treatment device, the Zyphyr Valve, in 2018. As a result of commercialization, 2019 sales grew 63% to $33 million (-55% EBITDA margin).
NLS Pharamceutics (NLSP), a biotech developing therapies for CNS and sleep disorders, filed to raise $40 million. The Swiss company is led by biotech industry veterans. Biotechs have done well recently, and another biotech targeting CNS disorders, Passage Bio (PASG), has traded up since its IPO last week.
Relevant Profiles: ACCD, ORIC, LUNG, NLSP, PASG
https://www.renaissancecapital.com/IPO-Center/News/67552/Wave-of-IPOs-file-in-spite-of-market-turmoil