010 – Direct Listings and Predictions for 2020

av Liquidity | Publicerades 1/22/2020

Doug and Gene look forward to 2020 and talk direct listings, what needs to happen for them to be mainstream, Tesla, and Apple.
Top 3 Takeaways:

* Creating a mechanism for companies to raise capital as part of a direct listing is key to their adoption.
* IPO investors and pre-direct listing investors have different expectations but may serve a similar purpose.
* Companies in new markets with open-ended growth opportunities are often given a pass when it comes to early fundamentals, and this is likely to continue.

Show Notes

* [1:04] What will it take for direct listings to take off in 2020?
* [3:35] What kind of return will pre-direct listing investors expect?
* [4:25] Doug thinks of the rounds ahead of a direct listing as a form of extended underwriting.
* [7:05] Has anything changed about how private companies think about profitability in the wake of Uber, Lyft, and WeWork?
* [8:00] Gene on the Tesla story.
* [11:20] When a company is playing in an open-ended market at the very beginning of their growth curve, the market doesn’t want to miss them, and investors will pay up for access to them.
* [14:08] Why we think Apple will be the top-performing FAANG stock of the year again.


Om Podcasten

The Loup Ventures Liquidity podcast explores all things liquidity in the venture market, particularly late-stage financings, secondaries, exits, and IPOs. As early-stage venture capitalists and former public stock analysts, our experiences meet in the middle, and we share those insights on the Liquidity podcast through discussions between Loup partners and industry guests.