WaterBridge, backed by Five Points, files for US IPO in a hot listings market

WaterBridge Infrastructure, a midstream water management firm, filed for an initial public offering in the United States on Friday. This highlights the growing momentum of new listings.

In recent days, a number of corporate issuers joined the IPO pipeline. This could lead to a September launch.

Positive IPO sentiment is also expected to be supported by firmer bets on potential rate cuts in the near future.

Josef Schuster, CEO of IPOX, said that lower U.S. interest rates and a proliferating rally in U.S. mid- and small-cap stocks could add fuel towards the end of the year.

Pattern, a e-commerce company and Netskope, a cybersecurity firm, also filed paperwork to become public on Friday.

WaterBridge, a water infrastructure company that focuses on Delaware Basin operations, is a pure play. WaterBridge is involved in collecting, transporting and recycling produced water.

The Houston-based company, which reported revenue of $374.9 millions for the six-month period ended June 30, had a net loss pro forma of $38.9 million.

As of July 31, the company's infrastructure included approximately 2,500 miles (or 4,000 km) of pipelines, and 196 facilities for handling produced water.

WaterBridge, a company that focuses on the oil exploration and production industry, is expanding to meet the growing demand for water from other industries.

The company provides services to oil and gas majors such as BPX Energy and Devon Energy.

WaterBridge is owned by private equity investor Five Point, Singapore's sovereign fund GIC and the infrastructure and private equity firm Five Point.

This listing comes more than a full year after LandBridge was successfully floated in New York, another company backed by Five Point.

Since LandBridge went public last year, the shares of LandBridge have more than tripled.

J.P. Morgan & Barclays will be the underwriters of the offering. WaterBridge is listed on the New York Stock Exchange as well as the NYSE Texas, under the symbol WBI.

The proceeds of the offering will go towards repaying debts and other purposes.

(source: Reuters)