NEW YORK (CNN/Money) -
Movie theater operator Regal Entertainment Group is the big name on the initial public offering marquee this week and investors will be looking for a $300 million opening day.
Financier Philip Anschutz, who bought the bankrupt assets of United Artists Theatres and Regal Cinemas, is hoping the sequel for the companies in the form of Regal Entertainment Group will be a profitable one. It is one of four IPOs scheduled to trade this week, raising a total of about $452 million, according to MCM EquityWatch, which tracks new issues.
The company operates 561 theaters in 36 states, and leads the industry, operating about 17 percent of all the screens in the United States.
"Regal is a very bold play," said Ben Holmes, industry analyst of Morningnotes.com. "Anschutz is not always right, but he has broad vision."
"If there is a pick of the week, this would be it," said John Fitzgibbon, editor at IPO Desktop. "But I don't see an awful lot of fireworks in it."
Fitzgibbon said the entertainment industry tends to do very well during economic downturns.
According to a filing with the Securities and Exchange Commission, Regal had revenues of more than $2 billion in 2001, with earnings of $58.3 million, but those results are pro-forma, excluding certain items.
Regal plans to sell 18 million shares between $16 and $18 per share, raising about $306 million through lead underwriters Credit Suisse First Boston and Lehman Bros.
Holmes said cinemas have had tremendous difficulty making money recently, with first VHS video tapes and now DVDs keeping movie watchers at home. In addition to Regal Cinemas, No. 3 movie theater chain Loews Cineplex Entertainment Corp. filed for bankruptcy protection last year.
The stock will trade as "RGC" on the New York Stock Exchange.
Also on the cards is Printcafe Software Inc., which offers supply-chain software solutions for the printing industry.
Fitzgibbon said he is not expecting much from this IPO, which had "all the magic words for the Internet era."
"They are a sea of red ink," he added.
Printcafe had revenues of nearly $42 million in 2001, but it lost more than $80 million.
Holmes said Printcafe is not a hard-asset company, but more of an idea company, and he noted a previous IPO prospectus for Printcafe had been withdrawn.
"I have no idea why this deal was revived," he said.
Printcafe is planning to raise about $60 million selling 7.5 million shares between $7 and $9 per share through lead underwriter UBS Warburg. The company plans to trade as "PCAF"
Rounding out the week are two holdovers from previous weeks that are offerings in the health care sector. Health care IPOs have struggled to trade recently, reflecting weakness in the underlying market, Fitzgibbon said.
"These salmon just do not swim upstream on the Hudson," Fitzgibbon said.
Quinton Cardiology Systems Inc., a medical device company which specializes in diagnostic cardiology equipment, plans to raise $49 million by selling 3.5 million shares between $13 and $15 per share through lead underwriter Adams Harkness & Hill.
The company will trade as "CORT" on the Nasdaq.
And Innovative Drug Delivery Systems Inc. is a specialty pharmaceutical company that uses its technology to create new and improved pain medications.
The company is looking to raise $50.4 million, selling 5.6 million shares between $8 and $10 per share through lead underwriters Thomas Weisel Partners. It plans to trade as "IDDS" on the Nasdaq.