How these IPOs fared 1 week later

This is how the latest shares listing on the ASX performed.

| More on:
Race

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The first week of a company being on the ASX boards can be very telling. The market doesn’t get any new information until the next quarterly or half-year result, so we can get a sense of the market sentiment from how the share does in its first week.

Of course, how the market treats a share doesn’t ultimately mean anything. But, it can be interesting nonetheless.

Here are how the latest ASX shares fared:

Kleos Space S.A (ASX: KSS)

Kleos is looking to launch low Earth orbit satellites in 2019 that will locate radio transmissions from devices such as VHF walkie talkies. It says that its data-as-a-service information is for users in the defence and security ISR market. It will capture data currently ‘hidden’ from detection.

It was looking to start trading on Monday last week, but it appears not to have made it onto the ASX boards. The new listing date is yet to be announced.

Primero Group Limited (ASX: PGX)

Primero is an engineering contracting company that aims to provide enhanced performance throughout the total project lifecycle for the minerals, energy and infrastructure sectors.

Primero raised money at $0.40 per share and it’s trading at $0.425, which means it has made a quick gain of 6.25%. It’s early days but it’s good to see that investors are backing Primero’s future.

Viva Energy Group Limited (ASX: VEA)

This was the big one.

Viva Energy Group owns 38% of Viva Energy REIT Ltd (ASX: VVR), a REIT that owns service station properties and leases them to Viva Energy. It also owns 50% of Liberty Oil, an independent fuel retailer and wholesale distributor with a strong regional presence.

It supplies fuel (and lubricants) to over 1,100 sites, most of which are Shell-branded and operated by Wesfamers Ltd (ASX: WES). It supplies other operators and wholesalers.

Viva Energy also supplies fuel, lubricants and speciality products to commercial customers in aviation, marine, transport, resources and construction & manufacturing industries.

It also owns the Geelong Refinery in Victoria which converts crude oil into petroleum products.

The business raised money at $2.65 per share and it’s now trading at $2.47. This isn’t too much of a surprise considering the oil price has also dropped since it listed.

Foolish takeaway

Although Viva is the biggest of the three businesses, I don’t think it’s the best long-term option with the future of the petrol car in question. I wouldn’t personally invest in Primero because it’s not my favourite industry, however at this point in the resource cycle it could be a decent pick over the next year or so.

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Wesfarmers Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Capital Raising

A woman holds her hands to her face in shock and fear with a worried expression on her face as many ASX 200 shares hit 52-week lows today
Capital Raising

Why is the Bubs share price crashing 15% today?

The Bubs share price is crashing on Wednesday. What's happening?

Read more »

A person holds a stop sign in front of their head
Consumer Staples & Discretionary Shares

Why is the Bubs share price in a trading halt?

The Bubs share price has been halted. What's going on?

Read more »

A young male investor wearing a white business shirt screams in frustration with his hands grasping his hair after ASX 200 shares fell rapidly today and appear to be heading into a stock market crash
Mergers & Acquisitions

Why is the Carsales share price crashing 15% lower today?

Carsales shares are sinking on Wednesday. Here's why...

Read more »

a small child and a pug dog sit in a go cart wearing old fashioned drivers headress and goggles as the drive along a country road with the boy holding his arm in the air and shouting as if celebrating their performance behind the wheel.
Capital Raising

How has the Carsales share price performed after past acquisitions?

Carsales shares are frozen right now amid acquisition moves.

Read more »

man bending over to look at red arrow crashing down through the ground
Capital Raising

BWX share price sinks 38% following capital raising at dizzying discount

BWX shares are feeling the wrath of investors after the steep discount offered by the company.

Read more »

a man peers out from a high collared jacket with just his eyes and nose visible amid a swirling snowstorm.
Capital Raising

Why is the Electro Optic Systems share price frozen today?

The space, defence, and communications company is undergoing a capital raise.

Read more »

A group of friends push their van up the road on an Australian road.
Capital Raising

Why is the Carsales share price frozen on Monday?

The market is unable to trade Carsales' stock on Monday. Here's why.

Read more »

A man sits in a chair hunched over a laptop and covered head to toe in frozen icicles to represent Envirosuite's trading halt
Capital Raising

The Wiluna Mining share price has been frozen for a month. What’s happening?

The ASX gold miner could remain halted for weeks to come.

Read more »