Investment Manager's Insider Look at the 2024 IPO Market: What You Need to Know
In the world of investments, the hopes for a strong 2024 IPO pipeline have dimmed as we enter the second half of the year. Last year saw the debut of four venture-backed tech IPOs, including Reddit, Astera Labs, Ibotta, and Rubrik, in March and April, raising expectations for a successful year. However, factors like the upcoming presidential election and rising interest rates suggest that the IPO market may not fully reopen until 2025.
Despite these challenges, 2024 is still shaping up to be better than 2023, with companies like Klarna and Shein in talks with bankers about potential IPOs. But the landscape is clearer when looking at companies that are not expected to go public this year.
Skims:
Kim Kardashian's Skims brand, valued at nearly $4 billion, is not expected to IPO until at least the first half of 2025.
Chime:
The challenger bank Chime, which saw a 25% increase in valuation in the last six months, is also not planning an IPO for 2024.
CoreWeave:
AI company CoreWeave, which recently raised significant funding, is preparing for a 2025 IPO.
Sword Health:
Virtual physical therapy startup Sword Health is eyeing an IPO in 2025, following recent funding rounds.
Plaid:
B2B fintech Plaid, valued at $13.4 billion, has no plans for an IPO in 2024.
Figma:
Design unicorn Figma's recent actions suggest a delay in its IPO plans for this year.
Stripe:
Fintech company Stripe is focusing on building its valuation before going public.
Databricks:
AI cloud platform Databricks is unlikely to go public in 2024, with potential plans for 2025.
Canva:
Design startup Canva may wait until 2026 to go public, with intentions to list in the U.S.
In conclusion, while the 2024 IPO market may not be as robust as initially hoped, there are still opportunities for investors to capitalize on upcoming IPOs in 2025 and beyond. By understanding which companies are likely to delay their IPO plans, investors can make informed decisions about their investment strategies and financial goals. Stay tuned for updates on these companies and their potential IPO timelines.