2012 will not be a record year for the number of initial public offerings but it certainly will be a memorable one.
Data compiled by Renaissance Capital indicates there were 128 IPOs this year. That’s about the average over the past ten years. The amount of capital raised however, at $43 billion, was the second highest for a year in that same ten year period. Of course, about $16 billion of that came from the Facebook (FB) IPO. FB stock is down about 29% since its frantic and problematic debut in May of this year.
Outside of people cutoff from modern technology, everyone heard of the Facebook IPO but most of this year’s IPOS are not known to the general public. The stocks of some are up while others are down. Data from Renaissance Capital shows Guidewire Software and Intercept Pharmaceuticals are up more than 130% while Envivio and Café Press are both down more than 70% this year (I don’t own, nor am I recommending these).
I rarely recommend anyone buy a stock at its initial public offering. Nevertheless, I have finally found an IPO I can recommend without hesitation, and it is fitting for investors of all types and risk tolerance. You see, it’s not an Initial Public Offering at all; it’s an Initial Puppy Offering (IPO) and it’s from Canine Companions for Independence. That’s right, if you watched CNBC yesterday morning (Dec. 20th) you would have seen Canine Companions for Independence www.cci.org ringing the opening bell on the New York Stock Exchange along with their longtime partner Eukanuba Dog Foods.
Canine Companions for Independence is a national non-profit organization that provides highly trained assistance dogs, free of charge, to children, adults and veterans with disabilities. They created the Initial Puppy Offering, to help meet the skyrocketing demand for assistance dogs across the United States.
Eukanuba Dog Foods (A Division of P&G) is an “Angel Investor” in this IPO with their generous donation of $100,000. But anyone can be an angel investor with as little as a fifty dollar investment in the Initial Puppy Offering. I have the IPO certificate hanging on my office wall and it’s quite a conversation piece.
This is one IPO that is guaranteed to pay-off.