U.S. IPO Weekly Recap: Coronavirus Vaccine Developer CureVac Pops 249% In A 4-IPO Week

Four IPOs and six SPACs entered the public markets this past week led by CureVac (NASDAQ:CVAC), which posted the largest first-day pop for a US IPO since 2005.

German biotech CureVac raised $213 million at a $2.8 billion market cap and soared 249% on its first day of trading. With a portfolio of mRNA-based therapies and vaccines, the company is developing a COVID-19 vaccine and has a Phase 1 candidate, which competes with other more advanced clinical candidates from large pharmas like AstraZeneca (NYSE:AZN). While it has never advanced a candidate into late-stage trials. CureVac is operating in a hot space for investment as the race for a COVID-19 vaccine continues.

China’s largest housing platform, KE Holdings (NYSE:BEKE) priced above the range to raise $2.1 billion at a $23 billion market cap, the largest US IPO from a Chinese issuer since 2018. The company operates under the Lianjia and Beike brands and its strong market position, recent growth, and improving EBITDA margins prompted investors to value the company like its higher multiple high-growth peers. KE Holdings finished up 65%.

Insurance software provider Duck Creek Technologies (NASDAQ:DCT) priced above the upwardly revised range to raise $405 million at a $3.5 billion market cap. Duck Creek has seen accelerating SaaS growth and strong revenue visibility due to sticky contracts. The company came to market above close peer and 2012 IPO Guidewire (NYSE:GWRE), trading closer to its high-growth peers. Duck Creek finished up 48%.

Single-tenant retail commercial REIT NetSTREIT (NYSE:NTST) priced below the range in a downsized IPO to raise $225 million at a $445 million market cap, and plans to offer a 4.4% yield based on the offer price. Its portfolio is 100% leased with large tenants, but it has provided rent deferral or abatements on 17% of its properties due to COVID-19. NetSTREIT finished flat.

Six SPACs raised $1.9 billion led by Dragoneer Investment Goup’s Dragoneer Growth Opportunities (DGNR), which raised $600 million, and RedBird Capital’ sports SPAC RedBall Acquisition (NYSE:RBAC), which raised $500 million.

10 IPOs During the Week of August 10th, 2020



Market Cap
at IPO

Price vs.

First Day

at 08/14







German Phase 1 biotech developing an mRNA vaccine for SARS-CoV-2.

KE Holdings






China’s largest housing platform operating under the Lianjia and Beike brands.

Duck Creek Tech.






Leading SaaS provider of core systems software for P&C insurers.

Dragoneer Growth Opp.






Blank check company formed by Dragoneer Investment Group.

FS Development (NASDAQ:FSDC)






Blank check company formed by Foresite Capital targeting a healthcare business.

Fortress Value Acq. II (FAII)






Second blank check company formed by executives at Fortress Investment Group.

dMY Technology Group II (DMYDU)






Second blank check company formed by Niccolo de Masi and Harry You targeting an app business.

RedBall Acquisition






Blank check company formed by RedBird Capital targeting the sports industry.







Net lease REIT that manages single-tenant retail commercial properties.

Lionheart Acquisition II (LCAP)






Blank check company formed by Lionheart Capital targeting a real estate technology company.

One company and five SPACs submitted initial filings. Facebank Group (OTCQB:FUBO), which offers subscribers access to live sporting events through its fuboTV platform, filed to raise $100 million. Casdin Capital and Corvex Management’s life science SPAC CM Life Sciences (CMLF) filed to raise $350 million, UK-based Sun Capital Partners’ SPAC Broadstone Acquisition (BSN.U) and data-centric technology SPAC Prime Impact Acquisition I (PIAI.U) both filed to raise $300 million, fintech SPAC North Mountain Merger (NMMCU) filed to raise $115 million, and Brookline Capital Markets’ life science SPAC Brookline Capital Acquisition (BCACU) filed to raise $50 million.

6 Filings During the Week of August 10th, 2020





Brookline Capital Acq.




Blank check company formed by Brookline Capital Markets targeting a life science business.

CM Life Sciences




Blank check company formed by Casdin Capital and Corvex Management targeting a life science business.

North Mountain Merger




Second blank check company led by former CardConnect executives targeting the fintech industry.

Broadstone Acquisition




Blank check company formed by Sun Capital Partners targeting a stressed business in the UK and Europe.

Prime Impact Acq. I




Black check company targeting a data-centric technology company.

Facebank Group



Evercore ISI

Offers a live TV sports-first streaming platform under the name fuboTV.

IPO Market Snapshot

The Renaissance IPO Indices are market cap weighted baskets of newly public companies. As of 8/13/20, the Renaissance IPO Index was up 40.6% year-to-date, while the S&P 500 was up 4.4%. Renaissance Capital’s IPO ETF (NYSE: IPO) tracks the index, and top ETF holdings include Zoom Video (NASDAQ:ZM) and Pinduoduo (NASDAQ:PDD). The Renaissance International IPO Index was up 28.1% year-to-date, while the ACWX was down 3.5%. Renaissance Capital’s International IPO ETF (NYSE: IPOS) tracks the index, and top ETF holdings include Meituan-Dianping and Xiaomi.

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Editor’s Note: The summary bullets for this article were chosen by Seeking Alpha editors.

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