The pre-Memorial Day IPO calendar was traditionally quiet, but increased movement in the pipeline leads to a potentially promising June.
As recent US banking crises begin to fade, this month brings an expected pause in Federal rate hikes and healthier job numbers.
The VIX Volatility Index is at its lowest in three years, helping to reduce the “fear gauge” for investors. IPOs offerings continue to include companies focused on innovative technologies and AI.
Degrees in Disease Prevention and Treatment
60 Degrees Pharmaceuticals (SXTP) has an estimated IPO date of June 9 and seeks to raise $7.5 million at a nearly $30 million market cap. Founded in 2010 and based in the United States, 60 Degrees is a specialty pharmaceutical company that develops new therapies for preventing and treating infectious diseases.
The company has regulatory approval for Arakoda, a malaria-preventative treatment on the market since 2019. 60 Degrees is developing programs through Arakoda and Celgosivir for tick-borne, fungal, and other viral diseases and COVID-19. The sole bookrunner on the deal is WallachBeth Capital.
Branching Out Into Dehydrated Natural Foods
BranchOut Food (BOF) set an estimated IPO date of June 15 and intends to raise $7.7 million at a $27 million market cap. Founded in 2017 and based in the United States, the company is a natural food brand with licensed technology to manufacture and market plant-based dehydrated foods like bananas, avocados and more. BranchOut’s licensed technology platform produces banana- and avocado-based powders and snacks that were once difficult to dehydrate effectively.
The company has exclusive rights to use the technology platform for avocados and has over 17 patents registered in 14 counties. BranchOut’s products are marketed and sold in grocery chains, natural food stores, and on Amazon. BranchOut booked $1 million in sales in 2022. Alexander Capital is sole bookrunner on the deal.
Louisiana Natural Gas Exploration
Layfayette Energy (LEC) has an estimated IPO date of June 16 and hopes to raise $7 million at a nearly $72 million market cap. Founded in 2022 and based in the United States, the company was incorporated to acquire, fund, and develop natural gas exploration and development in south central Louisiana.
Lafayette Energy holds options to lease about 11,000 acres in Imperial Parish but currently has no revenue-generating operations. Aegis Capital is sole bookrunner.
S²aaS Integrated Work Solutions in China
AgiiPlus (AGII) has an estimated IPO date of June 23 and seeks to raise almost $25 million at a $241 million market cap. Founded in 2015 and based in China, the company provides integrated working solutions, including enterprise and brokerage services, workspace renovations with smart building solutions and flexible workspaces. AgiiPlus has a business model called “S²aaS – Space & Software As a Solution,” which combines “Software As a Service (SaaS)” and “Space As a Service,” based on proprietary technologies.
The company booked $75 million in revenue for the year ended June 30, 2022. AgiiPlus initially set IPO terms in November 2022, planning to raise $39 million at a $406 million market cap. The revised terms mean the company will raise 40% less in proceeds. The sole bookrunner on the deal is Tiger Brokers.
