Renaissance Capital published their Review of the U.S. IPO Market for the second quarter of 2017. In its most active quarter in two years, the IPO market saw 54 IPOs, raising approximately $11 billion. The median deal size dropped to $115 million for the second quarter.
The healthcare and tech sectors accounted for more than 52% of IPOs in the second quarter with 16 healthcare deals, raising $1.2 billion and 12 tech IPOs, raising $1.6 billion. The energy sector raised $1.9 billion, but included the worst-performing IPOs of the quarter. The telecom sector warrants mention, raising $2.2 billion, which included the largest IPO of the quarter.
Private equity-backed IPOs have steadily increased in numbers. There were 15 PE-backed IPOs this past quarter, raising $5.1 billion.
Biotech and tech IPOs accounted for the doubling of venture capital-backed IPOs since 2017Q1. In the second quarter of 2017, VC-backed IPOs accounted for 16 IPOs, raising $1.8 billion. There were seven tech IPOs that were VC-backed, which included three valued at more that $1 billion.
This quarter included one withdrawal and 51 new IPO filings. We will continue to monitor the activity of the U.S. IPO market on this blog.