IPO Watch: All three of today’s new listings gained on debut
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The busy month of ASX IPOs has continued today with the listing of three more companies, and all of them gained.
The first full week of July has seen nearly 20 IPOs join the ASX. 8 listed Thursday and Friday of last week, 8 listed between Monday and Thursday this week and a final trio of stocks today.
All up, ASX IPOs in the month of July have gained an average of 11 per cent which is above the performance for the entire calendar year.
The best performed today is logistics and freight tech company Silk Logistics Holdings (ASX:SLH) which gained just over 20 per cent.
It offers warehousing and distribution services and has a ‘port to door’ technology that tracks deliveries for the purposes of helping clients minimise inefficiencies and costs among other metrics.
Silk targets clients including foods, specialised retail, agriculture and light industrials. and is expecting earnings of $17.8 million in FY21 and $20.9 million in FY22.
Battery metals explorer Charger Metals (ASX:CHR) had a similar debut gaining 15 per cent.
It has interests in the Lake Johnson Lithium project in WA, the Bynoe lithium and gold project in the NT as well as the Coates nickel, copper, cobalt and platinum metals project in WA.
Arguably the latter of those three is the most exciting, being located just 29 kilometres from the Julimar discovery made by Chalice (ASX:CHN) and nearly half a dozen other companies have had some exploration success particularly Caspin (ASX:CPN).
These projects were formerly owned by Lithium Australia (ASX:LIT) which retains a minority stake in all of them as well as a 19 per cent stake in Charger, making it the largest shareholder.
Engineering and construction firm DRA Global (ASX:DRA) rounds out the list.
While it couldn’t beat the other two companies from a share price perspective, it will be doing two listings in one day, entering the Johannesburg Stock Exchange later today (9am SAST/6pm AEST).
This company, like its industry peers, is capitalising off the back of favourable commodity market conditions.
It has been awarded over $600 million in new projects since 2021 began, and is expecting $1.2 billion in revenue as well as $51.6 million in earnings for the entire calendar year.