![]() ![]() ![]() The direct listing model offered Slack an opportunity to save significantly on investment banking fees and avoid agreements that would otherwise prevent many current shareholders from selling their stock. Like Spotify, Slack opted out of a traditional initial public offering and went instead with a direct listing, a process in which no new shares are created and existing shareholders are the only ones selling shares. “We may find that this initial excitement over it may not stay.” For all the frenzy around AI, there’s a quiet investor backlash building against the tech oligarchy’s recent stock market run. “Because of the high valuation, I think it has a certain amount of risk associated with it,” Kathleen Smith, principal at IPO-focused ETF manager Renaissance Capital told The Post. It has more than 90 million users but so far has only around 100,000 paid customers. Of those, Slack was by far at a whopping 28 billion. Revenues for Slack soared more than 80 percent to $400 million in 2018, but it reported losses from operations of $143.85 million. Slack’s chief executive, Stewart Butterfield, claims the company’s service will eventually replace workplace emails entirely. Slack is a messaging platform aimed at companies that allows teams of workers to communicate in different chat rooms and send direct messages. The stock ended the day up 48.5 percent to $38.62 a share, giving the San Francisco tech company a valuation of more than $23 billion. Trading under the ticker symbol WORK, Slack shares jumped to as high as $41.42 in intraday trading, a rise of 59 percent over its listing price of $26 a share. Slack Technologies, a fast-growing workplace messaging service, saw its stock rise close to 60 percent Thursday in a public trading debut that valued the company at $23.2 billion. Porsche revs up IPO with 911 million shares in nod to most famous modelīill Ackman to shut down giant SPAC, return $4B to investors Go To: Full Chart Realtime quote and/or trades are not sourced from all markets. Shareholder vote saves Trump's Truth Social app from possible shutdownĬEO behind Trump's Truth Social IPO begs small investors for support: source ![]()
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