Experts say that more consumer companies are choosing to remain private for longer periods to avoid an initial public offering
Experts point out that, with the rise of the secondary market and improved liquidity conditions, an increasing number of consumer companies are choosing to remain private for longer periods rather than going public through an initial public offering (IPO). In contrast to the IPO boom of 2021, the IPO market has cooled significantly in recent years; for example, the IPOs of two consumer companies—Jersey Mike’s and Reformation—that went public this Thursday saw lackluster performance. Analysts believe that going private allows companies to avoid the pressure of quarterly earnings reports and strict regulatory requirements, while ample capital and liquidity in the private market have also reduced the urgency to go public.
Source:CNBC头条 · Source Link
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