This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

The Deal Reports Small-Cap Equity Financing Market Surges; PIPEs, IPOs, Follow-Ons Make Double Digit Gains In Q3

NEW YORK, Oct. 14, 2013 /PRNewswire/ -- The Deal, TheStreet's (NASDAQ: TST) institutional business, issued a quarterly report that showed the small-cap equity financing market continued its resurgence in the third quarter with double-digit increases in the numbers of private invest­ments in public equity (PIPEs), registered direct offerings and initial public offerings (IPOs) as the broader stock market rose. Activity by special purpose acquisition com­panies (SPACs) also increased in the quarter, with four SPACs completing IPOs and three filing for IPOs. Even the number of reverse mergers increased, although from decidedly depressed levels.

(Logo: )

"The strong showing that we saw in the third quarter may be a harbinger of good things to come in the next one," said Dan Lonkevich, Senior Editor for The Deal. "Additionally, the fourth quarter could also benefit from the Securities and Exchange Commission lifting the ban against general solicitation and advertising of private placement offerings."

Some highlights from the report include:
  • The number of PIPE deals rose by 16.9% in the third quarter to 276 worth a total of $10.9 billion from 236 deals worth $12 billion, a year earlier. It was the second quarter in a row that the number of PIPEs rose.
  • The number of unregistered PIPEs rose 16.7% to 182 deals worth $3.69 billion from 156 worth $7.07 billion, a year earlier.
  • The market for registered private placements expanded by 17.5% to 94 transactions worth $7.17 billion, from 80 deals worth $4.94 billion. That includes 27 confidentially marketed public offerings worth $1.1 billion, compared with 17 CMPOs in the year-earlier quarter worth $780 million.
  • Common stock was the security issued in 158 of the recent quarter's PIPE transactions worth a total of $3.67 billion. That compares with 122 worth $6.93 billion a year ago.
  • Convertible debt was issued in 34 of the re­cent quarter's PIPEs worth $322.5 million, compared with 29 worth $374.2 million. Convertible preferred stock was issued in 22 PIPEs worth $588.1 million in the recent quarter, up from 18 worth $617.8 million.
  • At-the-market offering facilities were pro­vided to companies in 37 transactions worth up to $5.68 billion, compared with 31 deals worth up to $3.64 billion.
  • The number of equity-line transactions to­taled 14 deals worth as much as $503 million, down from 19 worth $255.2 million.
  • At least 10 PIPEs during the quarter raised at least $100 million. That does not include at-the-market offering facilities and equity lines, which the companies might not fully draw down. Anoth­er 14 PIPEs raised more than $50 million.
  • The third quarter's deals raised an average of $39.3 million each, down from $50.9 million, a year earlier.

The full report is available online.

About The Deal

The Deal, a business unit of TheStreet, has been serving corporate dealmakers, advisers and institutional investors the most sophisticated analysis of the deal economy since 1999. Our transaction information service, The Deal Pipeline, is powered by a newsroom of senior journalists who offer proprietary research and reporting across M&A, bankruptcies, auctions and financings. It includes a breaking news service, First Take; daily and weekly sector newsletters; The Daily Deal, a 2x daily report of the day's top stories; a research center with over a decade's worth of intelligence and a database of over 100,000 deals; and an iPad app. Our marketing & media services group produces the industry's leading forecasting event, The Deal Economy, held annually at the NYSE in addition to industry webcasts and integrated marketing programs. For more information, visit

CONTACT: Emily Schneider 212.321.5521

SOURCE TheStreet, Inc.

Copyright 2011 PR Newswire. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 17,050.75 +138.46 0.82%
S&P 500 2,013.43 +15.91 0.80%
NASDAQ 4,810.7880 +19.6360 0.41%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs