There was a dearth of Initial Public Offerings, IPOs in 2023. Respectively, the deal count in mergers and acquisitions, initial public offerings tanked and the overall volume fell also circa 30 %.
Initial Public Offerings function as a harbinger of good times. There are many IPOs generally when times are great and the mergers and acquisitions deal flow is strong.
2024 is expected to be much better in terms of Initial Public Offerings, with companies like Reddit soon, in March 2024, to stage IPOs, according to media reports.
Reddit had 800 million USD of revenue in 2023.
Reddit's IPO fair value is 10.7 billion USD, according to Wolfteam Ltd.'s projections and estimates. Media reports put a value of 5 billion USD on Reddit's market capitalization after the IPO. At 5 billion USD post IPO market capitalization Reddit will be undervalued, according to Wolfteam Ltd.'s view.
But Reddit is just what the IPO market in 2024 needs, according to many investors and Wall Street equity research analysts. A banter, flag name Initial Public Offering, IPO to move the whole deal train forward of Initial Public Offerings and mergers and acquisitions. IPOs usually set the 'animal spirits of the market' in motion and are quickly followed by strong, large and numerate mergers and acquisitions, debt capital markets, leveraged loan deals, which provide much needed fuel for the growth of small, medium and large scale enterprises.
So, the hope is Reddit and other high profile IPOs in 2024 would be the much needed harbingers, which will invoke the proverbial market growth in 2024.
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