US Weekly IPO and SPAC Monitor : Buffett-backed Brazil’s Nubank Lead

Following the Thanksgiving lull the IPO market is expected to pick up with four IPOs scheduled to raise $3.7 billion for the week. Chicago Atlantic Real Estate Finance (REFI) Cloud infrastructure platform HashiCorp (HCP) Austin Gold (AUST) and Buffett-backed Nu Holdings (NU) debut.

Businesswoman

Cloud infrastructure platform HashiCorp (HCP)

Plans to raise $1.1 billion at a $14.0 billion market cap. This VC-backed company provides a suite of solutions that standardize and automate the provisioning, securing, connecting, and running of cloud infrastructure at scale. While it has demonstrated rapid growth and a sticky customer base, HashiCorp is highly unprofitable due to S&M spend.

Buffett-backed Nu Holdings (NU)

Plans to raise $2.5 billion at a $41.1 billion market cap. Operating as Nubank, this Brazilian online-only bank was formed in 2013 to launch a no-fees credit card offering with a mobile-first customer experience, but has since expanded to offer various other financial products. Nu has grown rapidly since its inception, with a current base of nearly 50 million customers, though revenue per customer has been falling as its base grows.

Cannabis finance REIT Chicago Atlantic Real Estate Finance (REFI)

Plans to raise $106 million at a $296 million market cap. This newly-formed REIT is focused on originating, structuring, and investing in first mortgage loans and alternative structured financings secured by commercial real estate properties. Its current portfolio consists of senior loans to state-licensed operators in the cannabis industry.

Canadian gold exploration company Austin Gold (AUST)

Plans to raise $15 million at a $64 million market cap. This Canadian gold exploration company currently has interests in four properties located in the state of Nevada, with just one property that it considers material at this time. Austin Gold has not generated any operating revenues to date.

IPO Week Ahead

Street research is expected for 11 companies, and lock-up periods will be expiring for up to 11 companies.

 Source: Renaissance Capital

From The TradersCommunity News Desk