IPO

An IPO is an Initial Public Offering. This is the initial sale of stock to the public from private investors and holders of the company. There are several reasons why a company would issue stock to the public. Publicly traded stock allows the company to offer shares in mergers and acquisitions, easing the mechanism in purchasing other companies and lowering the cost. Publicly traded stock also allows the company to offer incentives to employees, by giving shares of stock. The greater exposure and publicity also help retain and attract talented employees and management. The value of a company is also higher compared to when it’s private. This is because increased levels of liquidity and transparency are more attractive to investors, who will allocate a higher multiple for the company’s value. The biggest downfall to a company issuing stock to the public is greater scrutiny from investors, as all financial records are made public. This comes in the form of an increase in legal and marketing costs, plus time spent with analysts and other investors explaining the inner workings of the company.


The Future Looks Promising for a Snapchat IPO   Talks of a Snapchat initial public offering (IPO) have been doing the rounds for a long time, and now Snap Inc. has taken another step which takes it closer to its IPO. The company’s…

A Pinterest IPO Makes More Sense Than Other Tech IPOs Pinterest, a popular online service that allows users to pin (attach) pictures or videos—which web aficionados call "pins"—related to their interests (hence the name) could go public. Indeed, the cards…

A High Valuation Awaits Snap IPO   Snapchat (otherwise known as Snap Inc.) has started preparing for its initial public offering (IPO) in 2017. The messaging app was in news recently when it launched its cool sunglasses, "Spectacles," which can record 10-second…

Snapchat IPO Could Be the Hottest of 2017 "Snapchat," the photo and video sharing app, could be next year’s hottest initial public offering (IPO). In fact, it could beat Alibaba Group Holding Ltd’s (NYSE:BABA) record, by making its Wall Street debut…

Snap Inc. IPO Could Be a Game Changer for Social Media Stocks The one surprising thing about Snapchat is that it’s not listed. But that could change by early 2017 with a Snapchat initial public offering (IPO)—or rather a Snap…

SpaceX Corporation Fires Up Mars Rocket. Is a SpaceX IPO Coming? SpaceX has tested its "Raptor" rocket engine for the first time. This is none other than the rocket engine that the company expects to use for the spacecraft that…

A SpaceX Corporation IPO Had Few Chances Before; Now It’s Even More Elusive SpaceX Corporation seemed to have found a sweet spot in 2016. It scored many successes in recent months. But, on September 1, its “Falcon 9” launch vehicle…

An Uber IPO in 2017 is Too Risky Uber Technologies Inc. is not publicly traded, and therefore not obliged to disclose its financial performance, but it organizes a quarterly conference call with some investors. These include some big names in…

Line IPO Could Raise Over $1.3 billion Japan’s Line Corp, which owns and runs the “Line” messaging app, has priced its initial public offering (IPO) price at ¥3,300 (US$32.10) per share, featuring a dual listing in Tokyo and New York.…

Line IPO Price Delayed by Global Uncertainty Although tech IPOs (initial public offerings) have been rare in the last 18 months, the upcoming Line IPO was supposed to buck the trend. But then the Brexit happened. As a result, the…

SpaceX IPO the Final Frontier? Is an initial public offering (IPO) the final frontier for SpaceX? Investors might be interested in gravitating toward a SpaceX IPO, but the company doesn’t seem to be in any rush to jettison private life.…

Can New IPOs Even Make It in This Market? Instructure Inc (NYSE:INST) is like any other initial public offering (IPO) to hit the market. It’s expensively priced, the company is still at an early stage of development, and investment risk…

For Airbnb, It’s Better to Stay Private Airbnb, the California startup that is challenging the world’s major hotel chains, has recently raised an additional $100 million to finance its growth and announced its hopes to become profitable by next year.…

How Close Is a Slack IPO? In an interview with The Australian, the prospect of an imminent Slack IPO (initial public offering) was discussed with CEO Stewart Butterfield. Ahead of this eventuality, Mr. Butterfield has commissioned an external audit. The…

Don’t Bet Against Match.com IPO Match Group, Inc. (NASDAQ:MTCH), which owns Match.com, Tinder, and OKCupid, generated a billion dollars in revenue in the last year. Finally, after leading the sector for some time, a Match Group initial public offering (IPO)…