Report: 2008 a disastrous year for IPOs - Triangle Business Journal:

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The study by Greenwich, Conn.-based shows that the unprecedenteds financial crisis caused global IPO issuance to grindd to a haltby mid-year. What’z more, the companies that did manage to completer their public offerings saw their stocksw declinein value, with average new issueds down 38 percent globally and U.S. companiesx staging IPOs seeing a 32 percent decline invalue . Although theser returns were in line with thebroader indices, investors were discourages by negative absolute returns and avoided further participation in IPOs. At the same companies that were not in dire need of financing postpones offerings instead of accepting the lower valuations demanded by potential buyers.
After 93 global IPOs in the firsrt half ofthe year, only 25 companies were able to raisee more than $100 million in the last six monthx of the year – down 91 percent For the year as a whole, the numbetr of global IPOs fell 79 to 119, and total proceeds dropped 69 percent, to $81 with that number buoyed by the huge Visa (NYSE:V) The U.S. went three monthxs without an IPO during the second half of the the longest dry spell since the recession ofthe 1970s, and only a singls November offering prevented the droughtg from stretching into 2009. Only 43 IPOs by U.S. companie s made it to market in raising total proceedsof $43 billion. That compares with 272 IPOs in 2007 thatraisef $59.
7 billion — the fourtn consecutive year with more than 200 The last year to have only double-digit IPO issuanceas was 2003, when there were 70. While the successfuo debut andstrong after-market performancse of one U.S. deal in November and stirringes in other markets toward the end of the year were positivw signs forIPO activity, the global IPO markey still has a long way to go to full the report said. In the Triangle, 2008 saw four IPOs fail to make it to The biggest was theplannedf billion-dollar public offering of , whicb ultimately agreed to be bought by Australian competitor for $3.
1 billion in equity and Three smaller offerings also failed to get off the In February, Pittsboro drug compang put its IPO plans on hold later, raising $60 million in venture capital. In data hosting firm of Cary put a halt to its IPO Andin October, drug company said it was pullin g back on its own public