TCP International Holdings went public today (with the NYSE symbol TCPI). The initial public offering didn't go as smoothly as the company was probably hoping it would.
Two weeks ago, TCP set the range for its IPO at $13-$15. (Here's a summary of what the company said about its business prior to the IPO. Stock analysts gave it a neutral rating.) When the issue went live this morning, the price to the public was $11. The company realized just more than $78.5 million; it had been aiming for $90 million or better.
Still, the cash infusion should put TCP in a good position to expand its manufacturing and distribution around the world. Europe, Asia, and South America currently account for only 18% of its sales; the US and Canada claim the lion's share.
Buyers at the $11 opening price haven't fared all that well, either, at least so far. According to Yahoo Finance, the shares traded at a high of $10.80 during the day and closed at $10.43.
There was an oddity in the offering I would like someone conversant with IPOs to explain. TCP apparently planned to be listed on the NASDAQ exchange; news coverage from the time of the initial pricing all says so ("about 8,500 results" per Google). The company apparently listed on the NYSE -- at least according to Yahoo and these news stories from today ("about 4,050 results"). I didn't think it was that easy to flip which exchange a company partners with. Anybody know more?
Doing it right
Another IPO today experienced the kind of excitement that TCP had probably been anticipating: GoPro, the maker of wearable cameras, priced its IPO at $24, at the high end of its expected range. The company (stock symbol: GPRO) offered 17.8 million shares to raise $427 million. The stock opened at $28.65 and traded between $31 and $32 all day.
By the end of tomorrow, 16 companies will have gone public in this week alone (or 15 or 19, depending on which account you believe).
— Keith Dawson , Editor-in-Chief, All LED Lighting