NEW YORK (TheStreet --Initial public offerings have brought a new enthusiasm to the equity markets this week. Companies with brand-name recognition continue to resonate with the market, while other, less well-known companies seem to falter after the hoopla dies down.Despite BATS very public IPO failure, 36 companies have launched successfully in the first quarter. Investors, though, have learned to jump in quickly. Many of these successful IPOs closed much higher than their offering prices, only to exhaust those early gains.
Millennial Media ( MM) had originally planned on raising $102 million and pricing its shares between $9 and $11. Interest began to build in the deal and the company revised the range to between $11 and $13. Millennial ended up raising $133 million by offering $10.2 million shares at $13 each. The stock popped and ended the first day of trading at $25. Millennial Media is the second largest mobile advertising, trailing Google ( GOOG) but ahead of Apple ( AAPL). As investors focus on the upcoming Facebook IPO, many realize how critical mobile advertising is to the growth of these social networking giants.
CafePress ( PRSS) looked to be off to a strong start. It had all the right ingredients for a successful offering. It was Internet-based and was successful with net revenue growing 37% in 2011 . It also had brand-name recognition. The original price range was between $16 and $18, but it ended up going out higher at $19. It seems the market believed $19 was a fair price as the stock hasn't moved much beyond that original price. Rexnord ( RXN) was the largest of the offerings for the week and was neither Internet-related nor consumer brand name friendly. The big industrial company had hoped to raise $450 million, but came away with $426 million instead. It priced at the low end of its range as the shares were introduced at $18. There has been strong institutional demand for large industrial companies as evidenced by the successful launch by Allison Transmissions ( ALSN). Allison is up 1.7% since the company went public in mid-March. Rexnord also has had a good first few days as a public company as the stock is already trading over $20 a share, a return of 8% in two days. --Written by Debra Borchardt in New York. >To contact the writer of this article, click here: Debra Borchardt. >To follow the writer on Twitter, go to http://twitter.com/wallandbroad. >To submit a news tip, send an email to: email@example.com.