Slack can bypass IPO subscribers like Goldman Sachs and go directly to the market with its next public offering. This is what a new report of the Wall Street Journal. If Slack does, it will be the second major company to use a direct quote after Spotify did it last April on the New York Stock Exchange. The Spotify IPO was considered by the majority as a success.
The report says Slack is likely to maintain its IPO in the second quarter of this year. The San Francisco-based company currently plans to use a direct listing, the WSJ report says, but you could also change your plans before the time comes.
We contacted Slack to make comments and will update it if we receive a response.
When traditional subscribers handle a large IPO, they form large institutional investors ahead of time, and this helps to set the selling price for stocks when trading opens. A good amount of money is also made in advance for the OPI company.
Slack can afford to go without that quick money. The company raised $ 427 million in new funds in August, which gives it a valuation of $ 7.1 billion. On the positive side, Slack would avoid paying large subscription fees, and its employees would avoid a waiting period before selling their shares.
In 2018, Slack had more than 8 million active daily users, including 3 million paying users. The company was launched in 2013 and offers a more functional way of carrying out messages between offices and sharing content.
The company has received a lot of attention from the media and exaggerations of investors, and probably deserved it. We will know for sure when the company becomes public this year.