Trader Talk

IPOs Take Center Stage

One more try: Hyatt tries to beat the IPO jinx with its offering this week.

Another important week for IPOs, as hotel giant Hyatt Hotels (symbol: H) is expected to price Thursday for trading Friday at the NYSE; seeking to raise over $900 million: 38 million shares at $23-$26. Lots of drama here, surrounding the Pritzker family infighting.

A couple of well-known retail names have also announced terms for their IPO, though not clear when they will begin trading:

1) Hot teen retailers rue21 (proposed symbol RUE) announced terms of its IPO at the NASDAQ, seeking to sell 6.77 million shares at $16-$18 per share (about $115 million). They operate 500 stores in 43 states.

2) Dollar General also announced details of its IPO: 34.1 million shares at $21-$23.

October was not a great month for IPOs. While Vitamin Shoppe did well:

1) Dole Foods is under water;

2) RailAmerica is HALF its $22 initial price of $22;

3) Banco Santander Brasil, the biggest IPO of the year in the U.S., is trading nearly $2 below its initial price of $13.40;

4) and last week natural gas giant AEI just walked away from its IPO when they could not get the price they wanted.



Questions?  Comments?