Where Are the Deals?

The ipo market has been dead in the water ever since Facebook mugged investors. Last year’s $112 billion raised in the ipo market is the worst since 2008, 30% of 2011′s output. On one hand, it’s a good thing to have less deals, leaving limited choices for capital flow. But what does it say about the economy?

There’s no excitement in the market right now. For every resurgence in Facebook, I offer you a death in Apple.

The trading ranges will persist and hopefully we can break out to new levels. I’m not concerned about today’s pullback. It may be bought by the day’s end. But for the market to reenter real bull market status, we need the ipo market to liven up again. We need excitement, something to lure the naive retail investor back.

We need another Facebook, this time sans the criminality.

22 Responses to “Where Are the Deals?”

  1. Orbital Space Cannon Inc. (OSCI) for 2013.

  2. Where are these numbers from? I have 2012 issuance at 46.754bn from 136 deals. 2011 at 40.802bn from 131 deals.

    Also Reits and mlps are seeing tons of follow on issuance. Mlps most IPO issuance ever…

  3. Herbalife secondary offering…Zecco senior manager

  4. Meanwhile, DDD has been stair stepping higher for two months hitting new high after new high.. nuts.

  5. Fool me once, shame on you.

    Fool me twice….you don’t get fooled again.

    “W”, naive no more retail investor

  6. why does this JTU person keep writing as if he/she is relevant, over and over and over again?

  7. WCOM (Worldcom),Pets.com, and Flooz.com will be filing for ipos shortly.

  8. The Eye-Talian Stallion

    We need a correction here to continue the bull. If not, then the market takes a major dump. Also, the market averages only +1.7% the year after an election. So one could hang out and wait for an opportunity, why force a trade?

  9. Freddy Fishsticks

    “limiting capital flow”

    Capital flow is restricted as a result of political ambiguity and general lack of confidence. “One more stock” doesn’t do a thing. And it’s a zero sum game in an IPO – the initial (pre secondary market) capital comes from underwriters and early investors. So IPO’s create churn, at best. They certainly don’t broaden net capital flow.

    • You misunderstood what I meant.

      It is a fact that when iPos come public there are less dollars looking to invest in the current roster of stocks

      • Freddy Fishsticks

        Disagree. Any dollars that go to the new IPO are simply transferred to some other party, who is highly unlikely to “put it under the mattress”…given they are an IPO player, no less.

    • The stock market is about allocating capital to the best operators of businesses. If a new IPO is a better business than an existing company then money should flow from the bad company to the better one.

  10. I’ll take some Twitter, sans the criminality.

  11. I’m not sure even a Twitter ipo can help out. Truth is we need to go ahead and give Alaska to China and Hawaii to Japan, and tear up all of our IOU’s. Do a complete reset.

  12. FB bin berry gud tu mi.

  13. WNR is dead meat today. Did everybody buy a Prius over the weekend?

  14. Twitter! (non-criminal tweets)

Comments are closed.
Previous Posts by The Fly

Where Are the Deals?

The ipo market has been dead in the water ever since Facebook mugged investors. Last year’s $112 billion raised in the ipo market is the worst since 2008, 30% of 2011′s output. On one hand, it’s a good thing to have less deals, leaving limited choices for capital flow. But what does it say about the economy?

There’s no excitement in the market right now. For every resurgence in Facebook, I offer you a death in Apple.

The trading ranges will persist and hopefully we can break out to new levels. I’m not concerned about today’s pullback. It may be bought by the day’s end. But for the market to reenter real bull market status, we need the ipo market to liven up again. We need excitement, something to lure the naive retail investor back.

We need another Facebook, this time sans the criminality.

22 Responses to “Where Are the Deals?”

  1. Orbital Space Cannon Inc. (OSCI) for 2013.

  2. Where are these numbers from? I have 2012 issuance at 46.754bn from 136 deals. 2011 at 40.802bn from 131 deals.

    Also Reits and mlps are seeing tons of follow on issuance. Mlps most IPO issuance ever…

  3. Herbalife secondary offering…Zecco senior manager

  4. Meanwhile, DDD has been stair stepping higher for two months hitting new high after new high.. nuts.

  5. Fool me once, shame on you.

    Fool me twice….you don’t get fooled again.

    “W”, naive no more retail investor

  6. why does this JTU person keep writing as if he/she is relevant, over and over and over again?

  7. WCOM (Worldcom),Pets.com, and Flooz.com will be filing for ipos shortly.

  8. The Eye-Talian Stallion

    We need a correction here to continue the bull. If not, then the market takes a major dump. Also, the market averages only +1.7% the year after an election. So one could hang out and wait for an opportunity, why force a trade?

  9. Freddy Fishsticks

    “limiting capital flow”

    Capital flow is restricted as a result of political ambiguity and general lack of confidence. “One more stock” doesn’t do a thing. And it’s a zero sum game in an IPO – the initial (pre secondary market) capital comes from underwriters and early investors. So IPO’s create churn, at best. They certainly don’t broaden net capital flow.

    • You misunderstood what I meant.

      It is a fact that when iPos come public there are less dollars looking to invest in the current roster of stocks

      • Freddy Fishsticks

        Disagree. Any dollars that go to the new IPO are simply transferred to some other party, who is highly unlikely to “put it under the mattress”…given they are an IPO player, no less.

    • The stock market is about allocating capital to the best operators of businesses. If a new IPO is a better business than an existing company then money should flow from the bad company to the better one.

  10. I’ll take some Twitter, sans the criminality.

  11. I’m not sure even a Twitter ipo can help out. Truth is we need to go ahead and give Alaska to China and Hawaii to Japan, and tear up all of our IOU’s. Do a complete reset.

  12. FB bin berry gud tu mi.

  13. WNR is dead meat today. Did everybody buy a Prius over the weekend?

  14. Twitter! (non-criminal tweets)

Comments are closed.