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IPO Outlook: 
KBW Surges 30% First Day
Author: Yordanka Bahchevanska
123jump.com
Last Update: 4:32 PM EST November 13 2006


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KBW gained 30% and Physicians Formula – 24% on their start on Thursday after pricing at the top of an estimated range. China-based Canadian Solar, insurer OneBeacon, Metabolix and Capella Educationa also made good gains. A hundred and eighty companies priced shares so far in 2006, and 58% of them are currently trading above their offering price.

 
The company has granted the underwriters an option to buy up to 502,500 additional shares to cover over-allotments.

First Albany Capital was acting as the lead manager for the offering, and Stifel, Nicolaus & Company was acting as co-manager for the offering.

Catalyst Pharmaceutical Partners is a specialty pharmaceutical company focused on the development and commercialization of prescription drugs for the treatment of addiction.

The company stock ended the week at $6.14 per share, up 2.3% from the IPO price.

Biotech Metabolix Inc. (MBLX: chart) raised $95.2 million with an initial public offering that was priced at the high end of the $12 to $14 forecast range.

The company offered 6.8 million shares, about a 37% stake, priced at $14 per share.

The size of the deal was lifted earlier from the original 5.8 million shares at filing.

The Cambridge, Massachusetts-based company develops alternatives to petrochemical-based plastics, fuels and chemicals.

Piper Jaffray was the lead underwriter of the offering. Jefferies, Thomas Weisel and Ardour Capital Investments were the co-managers.

The underwriters have a 3-day option to buy up to 870,000 shares to cover over-allotments.

The company’s shares closed at $15.52 a share on Friday, up 11% from the IPO price.

The online education company Capella Education Co. (CPLA: chart) raised $80 million with an IPO that was priced above the $17.50 to $19.50 forecast range.

The company offered 4 million shares, about a 26% stake, priced at $20 per share.

Credit Suisse Securities was the lead manager of the deal.

The underwriters have an option to buy up to 600,000 shares to cover excess demand.

The company stock closed at $25.11 on Friday, up 25.6% from the IPO price.

The property and casualty insurer OneBeacon Insurance Group Ltd. (OB: chart) on Wednesday raised $600 million with an initial public offering of 20 million shares that were priced at $25 a share, the midpoint of the $25 to $26 forecast range.

The size of the offering was increased from an initial 20 million shares.

The Bermuda-based reinsurer White Mountains Insurance Group (WTM: chart), OneBeacon's parent company, sold all of the the shares in the offering.

Lehman Brothers acted as the lead manager of the offering and Banc of America Securities acted as joint lead manager.
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