Advertising technology firm Simplifi Holdings was ready to go public last month at a valuation of close to $2 billion when some investors balked, Reuters reports.
Despite assurances from bankers at Goldman Sachs Group that they could raise the PIPE required, many big mutual funds and hedge funds passed on the deal because of concerns it was overvalued, according to people familiar with the situation.
Simplifi is among dozens of companies that dealmakers say have canceled or reconsidered their plans to go public through mergers with SPACs in the last few weeks. They are concerned that PIPE investors are no longer flocking to what was until recently one of Wall Street’s hottest trends. Read more.
