Each week I like to look at the upcoming IPOs which are happening on the ASX. It gives me a chance to see if there are any future stars being listed and perhaps get in early on that success story.
Every single share that currently trades on the ASX was a newly-listed share at one point, they should not be avoided just because they are new.
A new float is usually when a private company is looking to sell a small or large portion of the business to new investors. The funds are typically needed for the growth of the business, such as buying property, funding product development or making an acquisition.
If any of the below shares sound interesting, you should read the prospectus to see if you want to invest.
According to ASX Ltd (ASX: ASX) these are some of the upcoming listings:
Cadence Opportunities Fund Limited (ASX: CDO)
Its principal activity is investing in other businesses.
Cadence Opportunities is a listed investment company (LIC) that is being launched by Cadence Asset Management. It can invest in ASX shares and international shares. It can short shares if it wants to, but gross exposure will "typically" be less than 150%. Its management fee is 1.25% with a performance fee of 15% of its previous high NTA.
It's looking to raise $200 million at $1.25 per share and start trading on 20 December 2018.
Exopharm Limited (ASX: EX1)
Its principal activity is biopharmaceutical research.
The company is focused on developing and commercialising exosomes as therapeutic agents.
It's looking to raise $7 million at $0.20 per share and start trading on 18 December 2018.
Fiji Kava Limited (ASX: FIJ)
Its principal activity is biotechnology.
Fiji Kava offers dietary supplement capsules that aim to calm and soothe, the capsules are 100% plant-based and free from artificial chemicals. As the name suggests, the products are made in Fiji.
It's looking to raise $5.2 million at $0.20 per share and start trading on 20 December 2018.
IXT Limited (ASX: IXT)
Its principal activity is services and software.
The company says its software products and software-enabled services allow fund managers and financial service providers to automate complex business processes.
It's looking to raise $7 million at $0.20 per share and then start trading on 21 December 2018.
Foolish takeaway
Most of these businesses are too early in their development for me to consider them. The Cadence LIC sounds interesting, but the fees seem fairly high so I won't be jumping at buying any shares until I can at least see the types of shares it's investing in.
