IPO Trends

Attorneys who assist clients in the process of preparing an IPO generally believe that 2009 will result in a stronger market than 2008. A recent survey has revealed the current reluctance is tied to general economic conditions. Companies which have filed to go public are waiting up to six months for the launch event compared to an average of three months a year ago.

The survey also found that companies based in China and India are increasingly seen as potential opportunities for new IPO launches and to encourage these firms to seek capital in the US, attorneys believe the Sarbanes-Oxley legislation may be relaxed for foreign firms.

Here’s a breakout by industry for expected IPOs in the next several months:

• Alternative energy
• Biotechnology/Health
• Technology
• Traditional energy

As you prepare to prospect for new business in 2009, keep these trends in mind.

[Sources: Gaven Anderson release 8.5.2008; Ernst & Young release 8.5.2008]