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IPO Outlook: 
LoopNet’s IPO Brings Fresh Air
Author: Yordanka Bahchevanska
123jump.com
Last Update: 4:44 PM EDT June 11 2006



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The first week of June has been weak, with only one new deal in the IPO market, but it is scheduled to pick up steam this week. LoopNet''''s performance brought some fresh air after two weeks of uncertainty in the market as the company’s shares made rapid gains on their first day of trading Wednesday.

 
90 initial public offerings have been priced so far this year as of June 9, 2006:

- 41 IPOs are currently trading above initial offering price;
- 44 are trading below the offering price;
- and 6 are trading at their offer price.

One IPO was priced during the week of June 5th, 2006. There are six deals scheduled to be priced during the coming week, hoping to raise nearly $1 billion.

IPO PERFORMANCE

San Francisco-based real estate website LoopNet Inc. (LOOP: chart) on Tuesday priced 6 million shares at $12 per share. The price came at the midpoint of an $11 - $13 forecast range. The offering was worth $72 million. The company sold 4 million shares with certain stockholders offering 2 million.

In addition, the selling stockholders have granted the underwriters the right to purchase up to 900,000 shares at the initial public offering price to cover over-allotments of shares.

Credit Suisse Securities served as the lead manager for the offering, with Thomas Weisel Partners, Pacific Crest Securities and Pacific Growth Equities acting as co-managers.

LoopNet is the leading online marketplace for commercial real estate in the United States. The company provides a Web service that allows commercial real estate agents to post listings. Its competitors include Cityfeet.com, which provides the commercial real estate listings for Yahoo Inc.''s (YHOO: chart) listing service.

The company’s shares closed at $15.79 on Friday, up 31.6% from the initial offering price.

IPO CALENDAR – week of June 12th

Golf retailer Golfsmith International (GOLF: chart) plans to offer 6.0 million shares within a price range of $14 - $16 a share, in a bid to raise $110.4 million. Merrill Lynch, J.P. Morgan and Lazard will manage the deal.

Ethanol producer VeraSun (VSE: chart) plans to sell 18.25 million shares within a price range of $21 - $22 per share, in a bid to raise $461.7 million. The company changed the terms earlier during the week from the originally planned 17.25 million shares within the range of $18 - $20 per share. Morgan Stanley and Lehman Brothers will be the lead underwriters on the deal.

Software provider Synchronoss Technologies (SNCR: chart) plans to offer 7.6 million shares, including 1.1 million insider shares, within a price range of $9 - $11 per share, in a bid to raise $96 million. Goldman Sachs, Deutsche Bank and Thomas Weisel will manage the deal.

Semiconductor test systems maker Verigy (VRGY: chart) plans to offer 8.5 million shares within a price range of $16 - $18 per share, in a bid to raise $176 million. Goldman Sachs will be the lead manager on the deal.

Medical device maker Volcano (VOLC: chart) plans to offer 6.8 million shares within a price range of $10 - $12 per share, in a bid to raise $93.8 million. J.P. Morgan will be the lead manager on the deal.

Specilaty wire and cable distributer Houston Wire and Cable Company (HWCC: chart) plans to offer 8.5 million shares within a price range of $12 - $14 per share, in a bid to raise $137 million. William Blair will manage the deal.
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