Some of the biggest VC-backed companies are already showing significant interest this year in going public via direct listings, Pitchbook reports. Cryptocurrency specialist Coinbase and game developer Roblox have filed for such debuts, while data software providers Databricks and UiPath have raised massive financing rounds, which could clear the way for them to choose this option.
Pitchbook in a new analyst note explores why companies valued at more than $5 billion might pick a direct listing over a SPAC deal, and why a wider range of businesses could pursue this path to the public markets. A key benefit: A direct listing, combined with a large private funding round, can allow large unicorns to select the specific pricing and investors they want. Read more.
Related Posts
Judge Rules $12B Dyal-Owl Rock SPAC Merger Can Proceed: Report
Sixth Street Partners got roundly rejected by a Delaware judge, who ruled that the firm cannot block a proposed merger between Dyal Capital Partners and Owl Rock Capital, Axios reports.
Anchors Weigh Down SPACs
SPACs have increasingly turned to anchor investors to pull off IPOs — but it appears these backers tend to dump the stock soon after the offerings, Axios reports.
Sen. Elizabeth Warren Calls Out SPACs Amid Concerns of ‘Misaligned Incentives’: Report
The senator and three other Democratic lawmakers have sent an open letter to the executives behind popular SPACs, raising concerns about the potential for insiders to exploit regulatory gaps at the expense of everyday investors
Okada Manila Delays Nasdaq Listing to September Amid Leadership Dispute
Earlier this month, TRLEI announced that it would file criminal charges after a number of people – allegedly led by Okada founder Kazou Okada – “violently entered and occupied” its Okada Manila resort.