Thirty-nine of the 125 companies preparing to go public in the first quarter of 2011 have private equity firm investors, up slightly from 37 private equity-backed companies out of a total of 121 companies in the previous quarter, according to the U.S. IPO Pipeline study released Monday by Ernst & Young.
The total registered value of all of the companies preparing to launch initial public offerings in the first quarter was $18.4 billion, down from a combined value of $23.1 billion in the fourth quarter, the report stated.
One of the largest to register is private equity-backed company Freescale Semiconductor Holdings I Ltd., which is registered to raise $1.2 billion in its initial public offering.
Two of the 10 largest in the pipeline are non-U.S. companies: Canadian company Lone Pine Resources Inc. registered to raise $375 million, and Chinese firm Home Loan Servicing Solutions Ltd., $316 million. Fifteen of the 19 non-U.S. companies in the IPO pipeline are based in China and are seeking to raise a total of $788 million, the report noted.
Of the 27 companies that actually launched an IPO in the first quarter, three were backed by private equity: HCA Holdings Inc., which registered for $4.4 billion; Kinder Morgan Inc., $3.3 billion; and Nielsen Holdings NV, $1.9 billion.